The won-dollar exchange rate against the U.S. dollar closed at 1,483.3 won on the 30th. It rose 4.3 won from the previous trading day.
The won-dollar exchange rate has risen for three consecutive trading days since the 28th. With U.S.-Iran talks stuck in a stalemate, it has inched up each trading day. As the blockade of the Strait of Hormuz remains in place, demand for the safe-haven dollar has expanded. When dollar demand increases, the value of the won falls and the won-dollar exchange rate rises.
In particular, U.S. President Donald Trump said on the 29th (local time) that he would continue the strait blockade until a nuclear deal is reached with Iran, sending West Texas Intermediate (WTI) back above $100. In an interview with U.S. outlet Axios, Trump said, "A blockade is more effective than a bombing," and, "Iran wants a deal. I don't want to lift the (Strait of Hormuz) blockade." It is interpreted as rejecting Iran's proposed terms. Earlier, Iran proposed a "phased negotiation plan" in which the United States would first reopen the Strait of Hormuz and then hold nuclear talks.
The U.S. Federal Reserve's decision at the Federal Open Market Committee (FOMC) meeting to hold rates at the current 3.5%–3.75% also contributed to the rise in the won-dollar exchange rate. As opinions emerged to delete language from the FOMC policy statement that signals an accommodative monetary policy stance, expectations grew that the timing of a U.S. benchmark rate cut would be pushed back.