It fell to 1,320 won in 15 days due to the exchange rate and dollar sales by exporters.
The value of the won rises due to dollar sales by exporters and net buying of stocks by foreigners.
Quick Look
- The won/dollar exchange rate closed at 1,330.7 won, down 2.9 won from the previous day.
- It fell to 1,327.7 won during the day and entered the 1,320 won range within 15 days.
- The rise in the New York stock market, net purchases of foreign stocks, and dollar sales by exporters supported the strength of the won.
AI-generated summary
Why It Matters
The won/dollar exchange rate closed at 1,330.7 won, down 2.9 won from the previous day. It fell to 1,327.7 won during the day and entered the 1,320 won range within 15 days. The rise in the New York stock market, net purchases of foreign stocks, and dollar sales by exporters supported the strength of the won.
The won/dollar exchange rate fell to the 1,320 won level during the day due to dollar sales by exporters and net buying of stocks by foreigners due to increased risk preference.
In the Seoul foreign exchange market on the 12th, the standard price of the Korean won to U.S. dollar exchange rate at 3:30 p.m. was 1,330.7 won, down 2.9 won from the previous day.
The exchange rate started at 1,336.6 won and rose to 1,337.3 won at 10:26 am, but then changed direction and fell to 1,327.7 won at 2:24 pm.
It has been 15 days since the 28th of last month (the intraday low was 1,326.0 won) that the exchange rate fell to the intraday level of 1,320 won.
Last night on the New York Stock Exchange, major indices rose simultaneously thanks to the good performance of artificial intelligence (AI) cloud company Coreweave and the rebound of technology stocks.
On the 11th (local time) at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 52,486.49, up 0.49% from the previous day. The Standard & Poor's (S&P) 500 Index closed at 7,619.38, up 1.31% from the previous day, and the Nasdaq Composite Index closed at 25,466.19, up 1.60%.
As risk preference was introduced into the market as a whole, foreign buying continued in the domestic stock market as well.
In the stock market on this day, KOSPI closed at 5,342.73, down 0.61% from the previous day, but foreigners made net purchases worth 340 billion won and went on a 'lion' streak for three consecutive trading days.
In addition, expectations for dollar supply due to the increase in domestic exports and the influx of Nego (dollar sales) volume from exporters are added, adding weight to the downward trend in the exchange rate.
However, the dollar is still strong due to expectations that the U.S. Federal Reserve will raise interest rates in December.
The dollar index, which represents the value of the dollar against the currencies of six major countries, was 102.993, up 0.078 from the previous day.
The yen/dollar exchange rate fell by 0.003 yen to 159.765 yen.
The won/yen fiscal exchange rate fell by 6.54 won to 832.94 won per 100 yen.
Open Questions
- Will the exchange rate decline continue?
- Timing and size of the Federal Reserve's December interest rate hike
- Whether foreign net purchases of stocks will continue
