South Korean won reaches highest level in nearly two years
In South Korea, the South Korean won strengthened against the US dollar to its highest level in nearly two years. According to The Korea Herald, at 3:30 p.m. on Monday, the exchange rate stood at 1,340.5 won per dollar, down 9.9 won from the closing rate of the previous trading session.
Morning high
During morning trading, the won strengthened to 1,334.7 won per dollar. This was the strongest level for the South Korean currency since October 4, 2024.
According to the publication, the exchange rate's rise was largely driven by local exporters selling dollar holdings and converting the funds into the national currency. Companies in the semiconductor industry were among the largest sellers of dollars. SK hynix also converted proceeds from a major listing in the United States into the national currency.
More current news is available on the UA.News Telegram channel Telegram.
Investor activity
The won was supported by foreign investors, who on Monday made net purchases of South Korean stocks worth 2.5 trillion won, or about $1.86 billion. The benchmark Kospi index rose 4.61% and ended trading at 6,995.39 points.
The won strengthened despite strong US employment data, which raised expectations of higher US interest rates and supported the dollar. At the same time, substantial dollar selling by exporters outweighed the impact of the data. Later, the won lost some momentum after Yonhap Infomax reported that the National Pension Service had suspended currency hedging operations.
