The won-dollar exchange rate fluctuated again in the 1340 won range.
As of 9:15 a.m. on September 10, the exchange rate in the Seoul foreign exchange market was 1340.0 won against the U.S. dollar. At 6 a.m. that day, the rate was trading at 1340.6 won, up 4.5 won.
The escalation of military conflict between the U.S. and Iran has led to a surge in international oil prices and rising U.S. Treasury yields, which has weakened the appetite for riskier assets.
Brent crude for November delivery closed at $101.21 per barrel, up $3.29 (3.36%) from the previous session, marking the highest closing price since May 22.
October West Texas Intermediate (WTI) futures settled at $96.05 per barrel, an increase of $3.02 (3.25%) from the last session.
The New York stock market has fallen for three consecutive days. The Dow Jones Industrial Average closed down 405.41 points (0.77%) at 52,380.66.
The Standard & Poor's 500 index fell 37.16 points (0.48%) to close at 7,636.36, while the tech-heavy Nasdaq Composite dropped 168.07 points (0.64%) to finish at 26,253.34.
The dollar index, which measures the value of the dollar against six major currencies, decreased by 0.05% to 98.814.
Foreign investors are showing a buying preference in the domestic stock market. In the early trading session, foreign investors net purchased 90.7 billion won in the securities market.
The exchange rate is expected to rise. Min Kyung-won, an economist at Woori Bank, stated, "With rising oil prices and a weakened risk appetite, we anticipate the exchange rate will fluctuate in the mid-1340 won range. The simultaneous rise in oil prices and interest rates has put pressure on valuations in the New York stock market, which is likely to transfer to the domestic market, leading to a weaker won."
He added, "Negotiation volumes centered around semiconductor companies are expected to limit the upper range of the exchange rate, and since the Japanese authorities still have a strong intention to induce yen appreciation, if the yen strengthens, the won may also follow suit."
* This article has been translated by AI.
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