Won strengthens on robust exports, increased dollar supply

What happened: The Korean won strengthened against the U.S. dollar on increased dollar supply driven by robust exports, according to Bank of Korea data. Key numbers: Average rate of 1,342.6 won per dollar in the first 12 trading days of October, lowest since September 2024 (1,332.8 Why it matters: Experts cited the trade surplus and ample dollar supply as support for the won, with dollar selling driven by the semiconductor boom. Analysts expect the won in the low- to mid-1,300 range through year-end, with volatility persisting on Middle East risks, oil prices, and foreign stock outflows.

The Korean won strengthened against the U.S. dollar on increased dollar supply driven by robust exports, according to Bank of Korea data.

Experts cited the trade surplus and ample dollar supply as support for the won, with dollar selling driven by the semiconductor boom. Analysts expect the won in the low- to mid-1,300 range through year-end, with volatility persisting on Middle East risks, oil prices, and foreign stock outflows.