Won Breaks Below 1,400 Per Dollar Amid Weaker US Inflation Data

The South Korean won has broken below the 1,400-per-dollar level for the first time in over 10 months. As of 12:02 p.m. in Seoul, the dollar fell to 1,399.0 won against the Korean currency.

This move comes as weaker-than-expected U.S. inflation data and a decline in retail sales have strengthened expectations that the Federal Reserve may have less need to tighten monetary policy further.

The combination of softer inflation, consumption, and employment indicators has increased expectations that the Fed could ease policy, putting downward pressure on the dollar and supporting the won.