* Won falls to six-week low as USD strengthens on Dudley
* Won may weaken further before S.Korea-U.S. summit -
SEOUL, June 20 (Reuters) - The South Korean won <KRW=>
slipped to a six-week low early on Tuesday, as the dollar
bounced in the wake of hawkish comments from a Federal Reserve
The won <KRW=KFTC> was quoted at 1,137.1 against the dollar
as of 0230 GMT, down 0.39 percent versus Monday's close of
1,132.7. The currency briefly touched 1,138.5, the weakest since
"Comments from a New York Fed official reinforced views that
the Fed will raise interest rates as planned. Uncertainties are
also high ahead of S.Korea-U.S. summit, as many expect the
meeting to set a direction in North Korea policies," Kim Doo-un,
a currency analyst at Hana Financial Investment said in Seoul.
The dollar and Treasury yields moved higher after New York
Federal Reserve President William Dudley said inflation was a
bit low but should rebound alongside wages as the labour market
continues to improve, reinforcing expectations the U.S. central
bank will continue on its path of tightening monetary policy.
Adding to the won's weakness this week is the market's
cautious mood before South Korea President Moon Jae-in's visit
to Washington later this month, Kim said, when the two leaders
are expected to discuss policy responses to North Korea's recent
South Korean shares were flat with the Korea Composite Stock
Price Index (KOSPI) <.KS11> off 0.05 percent at 2,369.60 points.
Market heavyweight Samsung Electronics <005930.KS> was up
2.15 percent at 2,378,000 won. It earlier hit a record high of
2,385,000 won on expectations the world's top chip maker will
post an all-time high operating profit in the second quarter.
Smaller rival SK Hynix <000660.KS> was up 3.66 percent at
Decliners outnumbered advancers 617 to 197.
June futures on three-year treasury bonds <KTBc1> shed 0.01
points to 109.57.
0230 GMT Prev close
Dollar/won 1,137.1 1,132.7
Yen/won 10.1800 10.1826
*KTB futures 109.57 109.58
KOSPI 2,369.60 2,370.90
* Front-month futures on three-year treasury bonds
(Reporting by Cynthia Kim; Editing by Jacqueline Wong)
((Cynthia.Kim@thomsonreuters.com; 822 3704 5654; Reuters
Keywords: SOUTHKOREA MARKETS/MIDDAY