Won Surges to Near Five-Month High Against Dollar on Exporter Selling

The South Korean won has reached its strongest level against the US dollar in nearly five months, according to recent market data. The won was quoted at 1,446.7 per dollar at 3:30 p.m. on July 29, up from 15.8 won from the day before.

This appreciation is attributed by some analysts to the dollar selling by SK hynix Inc., which has converted its proceeds from a US listing into Korean currency. Many exporters have also sold dollars and traded them in for the won.

The won's gain comes as foreigners sold a net 1.2 trillion won (US$824 million) worth of local stocks during the trading session, with the benchmark Korea Composite Stock Price Index diving 5.98% to close at 5,663.24.