South Korean won hits 14-month high against U.S. dollar
Won reaches 1,350.4 per dollar amid strong yen gains and exporter dollar liquidations
Quick Look
The South Korean won reached a 14-month high of 1,350.4 won per dollar on Friday, driven by exporter dollar liquidations, SK hynix proceeds conversion, and a strengthening Japanese yen.
AI-generated summary
Why It Matters
The South Korean won has seen recent rebounds due to exporter actions and corporate currency conversions.
SEOUL, Sept. 4 (Yonhap) -- The South Korean won advanced to a fresh 14-month high against the U.S. dollar Friday, correlated with a recent strong gain of the Japanese yen.
The won was quoted at 1,350.4 won per dollar at 3:30 p.m., up 8.9 won from the close of the previous stock trading session, marking the strongest level since June 30 last year.
The won has rebounded in recent weeks as local exporters cut their dollar holdings and SK hynix Inc. converted its proceeds from a mega U.S. listing into the Korean currency.
Traders also focused on expectations that Japan's financial authorities may intervene to support the yen, which had suddenly strengthened this week.
Foreigners purchased a net 479.3 billion won (US$354 million) worth of local stocks during the latest trading session, with the benchmark Korea Composite Stock Price Index gaining 1.64 percent to close at 6,687.21.
Open Questions
- Will the Japanese yen intervention materialize?
- How long will foreign net stock buying continue?
