On the 9th, the won-dollar exchange rate opened at 1,453.8 won on the Seoul foreign exchange market, up 3.2 won from the previous day. U.S. employment indicators released overnight came in stronger than expected, weakening expectations for an early rate cut by the Federal Reserve (Fed).
As of the 3rd, U.S. initial jobless claims were 208,000, below the market forecast of 212,000, and U.S. corporations' layoff plans in December last year were about 36,000, sharply down from the previous month's 71,000.
With signals that the labor market remains solid, expectations emerged in the United States that the Fed will find it difficult to rush into rate cuts.
As expectations for U.S. rate cuts weaken, the view is spreading that the Korea-U.S. rate gap will be hard to narrow significantly for the time being. As a result, the appeal of dollar assets is maintained, supporting a stronger dollar and weaker won (rising won-dollar exchange rate). The dollar index stood at 98.85 as of 6:15 p.m. on the 8th (local time).