The won-dollar exchange rate fell sharply at the start of trading following news of a peace agreement between the United States and Iran.
As of 9:11 a.m. on June 15, the exchange rate in the Seoul foreign exchange market stood at 1505.1 won per dollar, down 8.4 won from the previous close of 1511.4 won.
The announcement that the U.S. and Iran will sign a memorandum of understanding (MOU) on June 19 has been interpreted as a sign of renewed appetite for riskier assets.
At the same time, U.S. stock futures showed positive movement, with the S&P 500 futures up 0.84% and the Nasdaq 100 futures rising 1.43%. The dollar index, which measures the value of the dollar against six major currencies, fell 0.26 to 99.48.
International oil prices have also dropped by nearly 5%. August futures for Brent crude were down 4.34% at $83.56, while West Texas Intermediate (WTI) fell 4.67% to $81.48. This decline follows a 3% drop on June 12 amid expectations of the U.S.-Iran MOU.
On June 14, U.S. President Donald Trump stated on social media platform Truth Social that "the agreement with the Islamic Republic of Iran is now finalized" and expressed full approval for the free passage through the Strait of Hormuz.
Trump added that once the agreement is signed on Friday (June 19), mine-clearing operations will commence, allowing oil to flow in both directions for the region and the world.
However, foreign investors are currently showing a selling trend in the domestic stock market. Early in the session, foreign investors sold a net 242.6 billion won in the securities market.
Min Kyung-won, an economist at Woori Bank, noted that the optimism surrounding the resolution of uncertainties related to Middle Eastern conflicts could become a significant driving force in the Asian markets. He suggested that if foreign investor sentiment continues to recover in the domestic market, the selling pressure from custodial rebalancing at the end of the quarter may ease.
* This article has been translated by AI.
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