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S. Korea Finance Ministry: Cautiously watching possible overshoot in USD/KRW move

An official at the South Korean Finance Ministry said on Wednesday, “he was closely monitoring exchange rates as dollar/won could shoot up further.”

"The won was weakening this week mainly as the offloading of stocks by foreign investors pressured the won.," the official added.

Market reaction

These comments helped fuel a sharp rally in the South Korean won (KRW) against the US dollar, with USD/KRW now correcting sharply from 11-month highs of 1,179.55 reached a day before.

The spot now trades at 1,170, losing 0.58% on the day.

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