The won-dollar exchange rate against the U.S. dollar opened at 1,509 won on the 20th. It rose 1.2 won from the previous trading day.
Analysts say the won-dollar exchange rate will edge up on the day. That is because U.S.-Iran cease-fire talks show little sign of a breakthrough. If uncertainty persists, demand for the safe-haven dollar expands, pushing up the won-dollar exchange rate. On a closing basis, the won-dollar exchange rate has stayed above 1,500 won for three consecutive trading days from the 15th through the previous day.
U.S. President Donald Trump said on the 18th (local time) that he had put on hold the previously signaled strike on Iran. He said he had ordered a hold on the Iran strike. But he suggested the strike could resume if there is no progress in talks with Iran. Trump said, "(Iran) wants a deal," while adding, "We may have to deliver another big blow."
Net selling of domestic stocks by foreigners is also having an impact. When foreigners sell domestic stocks and exchange the proceeds into dollars, the resulting increase in dollar demand becomes a factor pushing up the won-dollar exchange rate. Foreign investors also recorded net selling of 6.2622 trillion won the previous day. Net selling from the 1st to the 18th of this month alone is approaching 30 trillion won. Adding the period from the 1st to April (46.01 billion dollars), 100 trillion won has already flowed out.