South Korean Won Extends Recovery

2026-06-10 03:56 By Erika Ordonez 1 min. read

The South Korean won traded near 1,523 per dollar, extending gains for a third straight session, as authorities stepped up efforts to stabilize the foreign exchange market.

The Bank of Korea and the Financial Supervisory Service launched joint inspections of major foreign-exchange banks for the first time in 14 years, following recent warnings against excessive volatility and speculative trading.

Authorities said the inspections would examine whether market participants engaged in activities that destabilized the foreign exchange market or sought to secure improper gains by influencing exchange rates.

The currency also continued to recover after sliding to its weakest level since 2009 last week, as traders unwound bearish positions following recent stabilization measures.

However, gains were limited by renewed tensions between the US and Iran after Washington launched new strikes against Tehran, boosting demand for the US dollar and pushing oil prices higher.



News Stream
South Korean Won Extends Recovery
The South Korean won traded near 1,523 per dollar, extending gains for a third straight session, as authorities stepped up efforts to stabilize the foreign exchange market. The Bank of Korea and the Financial Supervisory Service launched joint inspections of major foreign-exchange banks for the first time in 14 years, following recent warnings against excessive volatility and speculative trading. Authorities said the inspections would examine whether market participants engaged in activities that destabilized the foreign exchange market or sought to secure improper gains by influencing exchange rates. The currency also continued to recover after sliding to its weakest level since 2009 last week, as traders unwound bearish positions following recent stabilization measures. However, gains were limited by renewed tensions between the US and Iran after Washington launched new strikes against Tehran, boosting demand for the US dollar and pushing oil prices higher.
2026-06-10
South Korean Won Strengthens on Dollar Selling
The South Korean won strengthened to around 1,525 per dollar, recovering further after touching its weakest level since March 2009 near 1,560, as authorities and large institutional players stepped up dollar supply to stabilise the currency. State-run National Pension Service reportedly conducted FX hedging, boosting onshore dollar selling, while policymakers continued verbal warnings against excessive volatility and closely monitored market activity. Additional support came from improved risk sentiment after Israel and Iran agreed to a ceasefire, easing demand for safe-haven assets. Continued strength in semiconductor exports and an upward revision to first-quarter GDP growth to 1.8% further supported the won through improved growth and external balance expectations. However, gains were tempered by a firm US dollar as markets reassessed expectations for Federal Reserve easing amid resilient US economic data.
2026-06-09
South Korean Won Firms As Authorities Pledge Action
The South Korean won gained to around 1,525 per dollar, rebounding sharply after touching its weakest level since March 2009 near 1,560, as authorities moved to contain speculative FX activity and market volatility. Top policymakers from the Finance Ministry, Bank of Korea, Financial Services Commission, and Financial Supervisory Service vowed to closely monitor the market and investigate suspected disruptive trading activity. However, gains remained limited by broad dollar strength after unexpectedly strong US labor market data prompted investors to scale back expectations for Federal Reserve easing. Continued foreign selling of Korean equities also fueled demand for dollars. Additional headwinds came from renewed Middle East tensions after reports that Iran fired missiles at Israel, boosting safe-haven demand for the greenback and raising concerns over higher energy costs for South Korea.
2026-06-08