# South Korean Won Strengthens As Seoul to Provide Cash Handout

> The won strengthened after the government announced an $800 cash handout per four-person household to support consumer spending. Q1 GDP contracted 1.4%, and the handouts will be funded by a second extra budget of about $5.8 billion, with bonds to cover costs.

- Date: 2020-04-23 · published 2020-04-23T12:00:00.000Z
- Category: policy · region South Korea · magnitude low
- Page: https://feedsoft.ai/events/53892-south-korean-won-strengthens-as-seoul-to-provide-cash-handout
- Commodities: [Korean Won (KRW per USD)](https://feedsoft.ai/c/USDKRW.md)

## Why it matters

Fiscal stimulus supports domestic demand and the currency, but it does not change feed or commodity supply or demand. The price effect on agricultural markets is negligible.

## Read by commodity

- USDKRW: bearish ▼

## Sources

- fxdailyreport.com: https://fxdailyreport.com/south-korean-won-strengthens-as-seoul-to-provide-cash-handout/

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