Analysis: SK Hynix's financing of $26.5 billion in the United States is expected to ease pressure on the South Korean exchange rate market.

South Korean chip giant SK Hynix raised approximately $26.5 billion through the issuance of American Depositary Receipts in the United States on the 10th. After the completion of the public offering process, the funds raised will be paid to SK Hynix on the 14th. The company plans to use this funding to build the first phase of the Yongin semiconductor cluster wafer plant, the Cheongju P&T7 advanced packaging factory, and to purchase production equipment including extreme ultraviolet lithography machines. Given this, a large amount of US dollars will be exchanged for Korean won, meaning that the Korean foreign exchange market will see a large-scale "US dollar supply." Market experts believe that the large-scale US dollars flowing in through ADRs may help alleviate the long-term weakening trend of the Korean won. The size of the US dollars flowing in this time is considered to be at the level of "currency swaps." In 2020, the Bank of Korea and the US Federal Reserve signed a $60 billion currency swap agreement, which was a key measure to stabilize the market. At that time, the actual amount supplied was $19.872 billion, which is more than the amount raised by SK Hynix this time, equivalent to 73% of South Korea's trade surplus in June this year.