# What will the Fed’s expected rate hikes mean for Korean market? - The Korea Herald

> The US Federal Reserve said it would end its pandemic-era bond purchases in March and signaled as many as three rate hikes by the end of 2022. South Korean officials said the move was within market expectations and would have a limited impact on local markets. The Bank of Korea also declined to extend its $60 billion currency swap deal.

- Date: 2021-12-17 · published 2021-12-17T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/43844-what-will-the-fed-s-expected-rate-hikes-mean-for-korean-market-the-korea-herald
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Korean Won (KRW per USD)](https://feedsoft.ai/c/USDKRW.md)

## Why it matters

Expected Fed tightening tends to strengthen the dollar, which raises the cost of dollar-priced feed imports for emerging-market buyers and can weigh on demand for US grain and meal. The effect on feed prices is indirect and gradual.

## Read by commodity

- DXY: bullish ▲
- USDKRW: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2018-02-05 | [Hawkish Fed, strong dollar jolt Korean markets - The Korea Herald](https://feedsoft.ai/events/66721-hawkish-fed-strong-dollar-jolt-korean-markets-the-korea-herald.md) | +1.1% | +0.6% |
| DXY | 2017-06-16 | [US Fed indicates more rate hikes this year; what this means for Indian rupee](https://feedsoft.ai/events/70794-us-fed-indicates-more-rate-hikes-this-year-what-this-means-for-indian-rupee.md) | +0.3% | -1.7% |
| DXY | 2019-04-30 | [Market alert: Will the Fed cut interest rates? \| XTB](https://feedsoft.ai/events/59760-market-alert-will-the-fed-cut-interest-rates-xtb.md) | -0.1% | +0.7% |
| DXY | 2022-08-30 | [Bank of Korea warns of more market volatility ahead as Fed signals more rate hikes](https://feedsoft.ai/events/40279-bank-of-korea-warns-of-more-market-volatility-ahead-as-fed-signals-more-rate.md) | +1.1% | +4.0% |
| DXY | 2018-03-19 | [What to expect from the Federal Reserve rate meeting \| IG South Africa](https://feedsoft.ai/events/65909-what-to-expect-from-the-federal-reserve-rate-meeting-ig-south-africa.md) | -1.2% | -1.3% |

## Sources

- koreaherald.com: https://www.koreaherald.com/article/2742012

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.