On the 24th, the won-dollar exchange rate plunged, closing the weekly transaction in the 1360 won range. This was due to the easing of uncertainty surrounding the Middle East situation following the ceasefire agreement between Israel and Iran.
On that day, the closing price of the won-dollar exchange rate in the Seoul foreign exchange market, based on 3:30 p.m., recorded 1,360.2 won, down 24.1 won from the previous trading day (1,384.3 won). The exchange rate closing price has fallen to the 1,360 won range for the first time in two days since the 20th (1,365.6 won).
The exchange rate started at 1,369.0 won, down 15.3 won, and then continued to decline. The foreign exchange market was recovering stability as the Middle East situation moved toward resolution.
The day before (local time), U.S. President Donald Trump noted on the social networking service Truth Social that "a full and complete ceasefire has been agreed upon between Israel and Iran."
On the same day, Prime Minister Netanyahu also announced that a comprehensive ceasefire agreement had been reached with Iran. According to foreign news reports, Netanyahu stated, "After intensive diplomatic and security efforts, I officially announce that we have reached a comprehensive ceasefire agreement with Iran."
As tensions in the Middle East eased, risk appetite recovered. Major indices, including the Dow Jones Industrial Average (0.89%), the S&P 500 Index (0.96%), and the Nasdaq Composite Index (0.94%), rose across the board on the U.S. New York Stock Exchange.
The domestic stock market also surged. The Korea Composite Stock Price Index (KOSPI) closed up 89.17 points (2.96%) at 3,103.64. This marks the first time in about three years and nine months that the index has surpassed the 3,100 mark since September 27, 2021 (3,133.64).
In contrast, the value of the dollar is on a downward trend. According to Investing.com, as of 3:54 p.m. that day, the Dollar Index (DXY), which indicates the dollar's value against six major currencies, recorded 98.05, down 0.30% from the previous day.
Wi Jae-hyun, an economist at NH Futures, commented, "As U.S. President Donald Trump announced that Israel and Iran have agreed to ceasefire, the recently skyrocketing oil prices and dollar are quickly stabilizing," adding, "If foreign funds, which consistently showed net sales in the domestic stock market, turn to net buying, the exchange rate is expected to undergo additional downward pressure."