Foreign Investors Scoop Up $1 Billion of Korean Bonds in One Day
- Net purchase amount is the biggest in a session since November
- Net inflow streak of 14 days is the longest in three months
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Foreign inflows into South Korean bonds surged on Tuesday, with net buying topping $1 billion, the most since November, according to the Financial Supervisory Service.
Offshore investors have already net purchased the nation’s debt for 14 straight days, marking the longest streak since May. The inflows are likely due to expectations for the won to strengthen further, along with potential that the nation’s bonds will be added to FTSE Russell’s World Government Bond Index, while in the backdrop, rate cut bets increase the allure of emerging Asian assets in general, according to DB Financial Investment.