The won-dollar exchange rate against the U.S. dollar was 1,413.5 won at 9 a.m. on the 19th. It was up 1.7 won (0.12%) from the previous transaction day's weekly closing price.
There is an outlook that the rate could rise to the high 1,410-won range today. This is because net selling by foreign investors in the domestic stock market may continue. The KOSPI opened at 6,528.77, down 4.96%. Overnight, New York stocks also all closed lower. The S&P 500 fell 0.69%, down for a third straight day. The Nasdaq Composite fell 1.33% to close.
Tensions in the Middle East are also rising. U.S. President Donald Trump said there are no ongoing talks with Iran and that the U.S. maritime blockade is "fully maintained and valid." He also posted on social media a map image that labeled the Strait of Hormuz as U.S. territory. If a warlike situation like this continues, demand for the safe asset dollar could expand and the exchange rate could rise.
On the 18th (local time), a cargo ship was attacked in the Strait of Hormuz, killing one crew member. As a result, international oil prices rose for a third straight day. West Texas Intermediate (WTI) rose 0.52% from the previous transaction day to $84.95 per barrel.
However, some say the rise may not be large. This is because major export corporations are selling dollars they hold. Min Kyung-won of Woori Bank said, "Focusing on semiconductor companies, strategies have shifted to steady selling responses."