The won-dollar exchange rate is currently in the low 1330s.
As of 9:25 a.m. on November 2, the exchange rate in the Seoul foreign exchange market stands at 1,335.2 won per U.S. dollar.
The rate remains stable in the low 1330s despite foreign selling in the domestic stock market, driven by deteriorating investor sentiment towards U.S. technology stocks.
On October 30, the Dow Jones Industrial Average fell by 1.09%, while the S&P 500 dropped by 1.82%. The tech-heavy Nasdaq Composite plummeted by 2.86%.
Foreign investors are showing a selling trend in the domestic market on November 2, with net sales of 152.2 billion won in the early trading session of the KOSPI.
On October 30, international oil prices rose due to concerns over the escalation of conflict in the Middle East and potential disruptions in oil transportation. Brent crude for December delivery closed at $117.64 per barrel, up 2.40%, while West Texas Intermediate (WTI) for December delivery rose 2.08% to $104.12 per barrel.
The exchange rate is expected to rise due to foreign capital outflows. Min Kyung-won, an economist at Woori Bank, stated, "We anticipate an increase in the exchange rate due to expanded net selling by foreign investors in the stock market driven by tech stock sell-offs, along with a weakening of Asian currencies."
He added, "Today, the exchange rate will likely see dollar supply pressure in the domestic market, countered by demand for low-priced purchases and foreign remittances. After regular trading, we expect a rebound to the mid-1330s as investor sentiment towards tech stocks remains subdued in European and New York markets."
* This article has been translated by AI.
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