1) Dollar-won closes at 1460 won range
On Friday night, the dollar-won (REGN) exchange rate closed at 1,462 won, up about 6 won from the previous day. With more than 11 trillion won worth of foreign capital withdrawn from the KOSPI for two days, the situation in the Middle East puts pressure on the Korean won, which is vulnerable to risk sentiment. After the announcement of U.S. employment indicators, the exchange rate has declined due to the weak dollar. “Employment indicators were good but not great,” Bank of America said. “Considering wages and participation in economic activities, it is a mixed result.”

2) Hormuz tension
U.S.-Iranian anxiety is escalating again. The U.S. said a drone strike sparked a fire in the waters near Qatar, and the United Arab Emirates and Kuwait also intercepted enemy drones. Iran warned that it will respond immediately if British and French warships enter the Strait of Hormuz. “If everything is not signed and completely completed, we can take another option,” President Trump warned, hinting at the possibility of expanding the “Project Freedom” operation

3) U.S. Employment Surprise
Job growth in the U.S. exceeded market expectations for the second consecutive month and unemployment remained stable. Employment in the non-agricultural sector increased by 11.5 million in April after March, the strongest two-month increase since 2024. During the same period, the unemployment rate was 4.3% Fitch Ratings said, “It is a meaningful improvement that the increase of more than 100,000 people has continued for two consecutive months,” adding, “The labor market is not at an explosive level, but it is stronger than expected.”

4) U.S. consumer sentiment index hits record low
U.S. consumer sentiment fell to its lowest level ever due to concerns over inflation. Michigan University’s consumer sentiment index in May was 48.2, down from 49.8 the previous month. The fall reflects concerns about the impact of rising prices on household finances and consumption conditions. The index, which shows the current economic situation, is 47.8, the lowest ever, and the current financial situation has also fallen to its lowest level since 2009

5) Goolsbee, “Both cuts and hikes are possible”
Amid growing uncertainty over the rate path within the Fed, Chicago Fed President Ostan Goolsbee said, “It is difficult to see a rate cut as the only option given the current situation.” At the Federal Open Market Committee (FOMC) meeting in April, some members objected to the statement regarding the future interest rate path, and there are growing calls to leave open the possibility that the next move will be an increase, not a cut
(자료: Bloomberg News)