South Korean Won Gains Against U.S. Dollar on Soft U.S. Inflation Data
Quick Look
The South Korean won rose slightly against the U.S. dollar on Friday after lower-than-expected U.S. inflation data dampened expectations of a Federal Reserve rate hike.
AI-generated summary
Why It Matters
The U.S. Producer Price Index gained 4.7 percent on year in July.
SEOUL, Aug. 14 (Yonhap) -- The South Korean won made slight gains against the U.S. dollar Friday, after better-than-expected U.S. inflation data reduced market expectations of a rate hike by the Federal Reserve.
The won was quoted at 1,418.3 won per dollar at 3:30 p.m., up 1.1 won from the close of stock trading the previous day.
The won opened at 1,414.9 won per dollar and rose to as high as 1,411.8 won in afternoon trading.
For the sixth consecutive trading session, the won has traded in a range of some 1,140 per dollar, marking the strongest level since early October last year.
The U.S. Producer Price Index gained 4.7 percent on year in July, down from a 5.5 percent rise in June.
Foreigners bought a net 3.38 trillion won (US$2.4 billion) worth of local stocks during the latest trading session, with the benchmark Korea Composite Stock Price Index rising 2.42 percent to close at 6,977.94.
Open Questions
- Will the Federal Reserve halt rate hikes permanently?
