Dollar Falls Over 1% Against Won Amid Regulatory Scrutiny

The US dollar's value against the South Korean won has dropped over 1% due to increased regulatory scrutiny and global market volatility.

The drop in the exchange rate, measured as USD/KRW, has been attributed to several external factors including strong US economic performance, rising Treasury yields, and sustained inflation concerns driven by oil prices.

The US Treasury maintains South Korea on its currency watchlist, citing sharp depreciation of the won and a large technology-driven current account surplus.

Analysts note that persistent bearish momentum and ongoing regulatory scrutiny are keeping USD/KRW under sustained pressure, with the pair trading below key moving averages.