Won Hits Two-Year High Against Dollar as Exporters Fuel Boom

The South Korean won has reached its strongest level against the US dollar in nearly two and a half years, trading at around 1,335.9 won as of 10 am on Monday.

This move follows stronger-than-expected US employment data, which revived expectations that the Federal Reserve could raise interest rates this month.

Korean exporters are bringing in large amounts of overseas earnings, accelerating the country's export boom and offsetting external pressures from a firmer US dollar.

The won's appreciation has been persistent, with the exchange rate entering the 1,330 range for the first time since October 2024. Despite authorities absorbing around $20 billion of dollar proceeds repatriated from SK Hynix's US American depositary receipt issuance, exporter dollar selling continues to supply dollars to the local foreign exchange market.