Concerns Over Prolonged US Tightening... Won-Dollar Exchange Rate Closes Near 1310 Won

[Image source=Yonhap News]

The won-dollar exchange rate rose by more than 10 won, approaching 1,310 won. This is the highest closing rate since June 30.

On the 4th, in the Seoul foreign exchange market, the won-dollar exchange rate closed at 1,309.8 won, up 10.7 won from the previous trading day.

On that day, the exchange rate opened at 1,297.5 won, down 1.6 won from the previous day's closing price, fluctuated around 1,300 won in the early session, and rose to 1,310.2 won in the afternoon.

It then slightly declined and closed the session at 1,309.8 won. This is the highest closing rate since June 30 (1,317.7 won).

This is interpreted as a result of heightened market caution ahead of the U.S. July nonfarm payrolls announcement, which was released that evening in Korean time.

The U.S. continues to show solid private employment indicators and initial jobless claims. If the U.S. economy does not weaken, the Federal Reserve's tightening stance is likely to continue, strengthening the dollar.

The dollar index, which shows the value of the dollar against the currencies of six major countries, has been moving around the 102 level for four consecutive days.

As the exchange rate rose above 1,300 won during the session, settlement demand showed dominance in supply and demand, further fueling the exchange rate increase.

This content was produced with the assistance of AI translation services.