Won-Dollar Exchange Rate Nears 1,520... FX Authorities Issue Verbal Warning: "Decisive Action If Necessary"
As the won-dollar exchange rate threatened to surpass the 1,520-won mark, the foreign exchange authorities issued a verbal intervention, stating that they would "take decisive action if necessary."
According to the foreign exchange authorities, the Bank of Korea and the Ministry of Economy and Finance told market participants at around 3:25 p.m. on the afternoon of the 22nd that "the movement of the won-dollar exchange rate appears excessive compared to fundamentals, and we are observing the situation with caution." This verbal intervention was made abruptly just before the close of weekly trading.
On that day, the won-dollar exchange rate in the Seoul foreign exchange market closed weekly trading at 1,517.2 won, up 11.1 won from the previous trading day. This is the highest level since April 2, when the rate reached 1,519.7 won. At one point during the session, it soared to 1,519.4 won, coming close to the 1,520-won level.
Hot Picks Today
"Photos of Kim Jong Un Released by North Korea Are a Deception"... Debate Over Death Rumors Continues
- Despite "Insufficient Balance" Notices, They Board Anyway... Reports of Foreign Fare Evasion Mounting
- "Chinese Tourists Won't Go Anymore"... Arrivals Halved, but Koreans Say "Now's Our Chance" and Open Their Wallets in Japan
- "Even Underwear Has to Be Cut Up with Scissors"... China Hit by Rise of "Trash Hunters" in an "If You're Slow, You're Out" Scramble
- [Exclusive] "We Came for a KRW 140,000 Trip": Following Chinese Tourists in Korea Uncovers a 'Suspicious' Tour
Recently, the exchange rate has come under increasing upward pressure due to two factors: uncertainty is mounting as ceasefire negotiations between the United States and Iran have stalled, and foreign investors are continuing large-scale sell-offs in the domestic stock market.
© The Asia Business Daily. All rights reserved. Unauthorized AI training and use prohibited.
