Korean Won Hits Five-Week Low

2026-03-02 02:06 By Mariene Camarillo 1 min. read

The South Korean won fell to around 1,475 per dollar, its weakest level since January 20, as mounting geopolitical tensions in the Middle East continued to dampen sentiment.

Pressure on the currency intensified after President Donald Trump signaled that Washington anticipates its military campaign against Iran could run for 4 to 5 weeks, while stressing that American forces have the capacity to extend operations if required.

Amid rising uncertainty, the Bank of Korea convened an emergency task force meeting to assess spillovers to domestic financial markets.

Governor Rhee Chang-yong and senior officials reviewed the implications of the coordinated US-Israel strikes for the won, as well as for local bond and equity markets, and discussed policy options under various escalation scenarios.

Meanwhile, traders digested fresh economic data, with South Korea’s Manufacturing PMI easing slightly to 51.1 in February 2026 from 51.2, signaling continued but modest expansion in factory activity.



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