South Korean won holds near 13-month high around 1,373 per dollar
South Korean won traded around 1,373 per dollar near its strongest level since July 2025. Strong August exports supported inflows, while renewed US-Iran clashes and oil above $91 a barrel add inflation and risk concerns.
The South Korean won traded around 1,373 per dollar, holding near its strongest level since July 2025, as strong semiconductor exports boosted dollar inflows and encouraged exporter selling.
South Korea’s exports jumped 68.7% year-on-year to $98.25 billion in August, while the trade surplus reached $34.75 billion.
Semiconductor exports surged 209% to $46.65 billion, driven by robust demand for AI infrastructure, while month-end and custody-related flows provided additional support for the won.
The currency also benefited from the Bank of Korea’s policy rate of 3% and a stronger growth outlook, with the government’s record 2027 budget allocating increased funding to AI, semiconductors and other growth industries.
Meanwhile, renewed US-Iran military clashes and oil prices above $91 a barrel have heightened inflation and risk concerns, while higher US Treasury yields and expectations for further Fed tightening could limit further won appreciation.