South Korean Won Strengthens Against U.S. Dollar Amid Middle East Tensions
The won rose to its strongest level since Oct. 2 last year as exporters sold dollars.
Quick Look
The South Korean won strengthened to 1,416.1 per U.S. dollar on Friday as exporters sold dollars amid renewed Middle East tension and rising global oil prices, despite foreign net selling of local stocks.
AI-generated summary
Why It Matters
Global oil prices rose amid reported developments involving Iran and the Strait of Hormuz.
SEOUL, Aug. 7 (Yonhap) -- The South Korean won strengthened against the U.S. dollar Friday, as exporters sold dollars amid renewed tension in the Middle East.
The won was quoted at 1,416.1 won per dollar at 3:30 p.m., up 7.7 won from the close of stock trading the day before.
The won opened at 1,424 won per dollar and rose to as high as 1,415.9 won in afternoon trading, marking the strongest level since Oct. 2 last year.
Global oil prices rose as Iran reportedly said it would ban U.S., Israeli and other ships deemed hostile from the Strait of Hormuz in a proposed deal with Oman.
Foreigners sold a net 858.1 billion won (US$606 million) worth of local stocks during the latest trading session, with the benchmark Korea Composite Stock Price Index falling 0.6 percent to close at 6,258.77.
Open Questions
- Will the proposed deal regarding the Strait of Hormuz be finalized?
- How long will the won maintain its strengthened level?
