It should be a big day for the Korean Won with talk of foreign exchange controls seeing USD/KRW rally hard and the central bank meeting later today. Rates are expected to stay on hold at record lows but there is also talk of increased tension between the BoK (which wants to start tightening) and the politicians who want easy conditions to remain.

If the BoK is forced to intervene in USD/KRW today then that may pressure pairs like EUR/USD and GBP/USD because the BoK will sell USD/KRW and then buy back some of these USD against other currencies in their reserves. EUR/USD has already broken below the overnight low at 1.1973.