The won-dollar exchange rate against the U.S. dollar closed at 1,501.3 won on the 1st. It fell 28.8 won from the previous day.
This is seen as the result of growing expectations that the United States and Iran will end the war. When geopolitical risks ease, demand for investment in risk assets tends to rise in the market, and the won, which is not a key currency, tends to strengthen.
Overnight, Iran said it is willing to end the war. According to AFP and others, on the 31st (local time), Iran President Masoud Pezeshkian said in a call with European Council President António Costa that "we are willing to end this conflict." Pezeshkian also said, "If the essential conditions are met, especially if preventing a recurrence of aggression is guaranteed, we have the necessary will to end this conflict."
On the same day, the White House said U.S. President Donald Trump will deliver a national address on Iran at 9 p.m. on the 1st (local time). That is 10 a.m. on the 2nd in Korea. White House Spokesperson Karoline Leavitt said on X (formerly Twitter) that "President Trump will deliver a national address at 9 p.m. tomorrow (local time) to provide important updates on Iran." She did not disclose what the address will include.
Wi Jae-hyeon, a researcher at Kyobo Securities, said, "For the time being, a high exchange-rate trend could persist depending on geopolitical risks," but added, "If tensions ease, further gains in the exchange rate are expected to be limited."