The won-dollar exchange rate against the U.S. dollar was 1,368.3 won as of 9 a.m. on the 1st. It was down 0.3 won (0.02%) from the previous transaction day's weekly closing price.
There is an outlook that the rate could rise into the 1,370-won range that day. Because the rate hit the 1,360-won level for the first time in 13 months the previous day, buying demand to purchase dollars at low prices could expand. Min Kyung-won of Woori Bank said, "On this day, the perception of an excessive drop is likely to work, leaving ample room for a reversal-type buy-in," adding, "Bargain hunters betting on a rebound after a steep drop in the rate and demand related to residents' overseas stock investment are also factors that will shore up the rate's lower bound."
Heightened tensions in the Middle East are also expected to affect the rate. If the war situation continues, demand for the safe asset, the dollar, tends to increase, pushing the rate higher. The United States carried out an airstrike the previous day on Iran's Larak Island in the Strait of Hormuz. Iran responded by attacking U.S. military bases in Jordan and the United Arab Emirates (UAE).
Meanwhile, on the 31st (local time), West Texas Intermediate (WTI) rose 2.83% from the previous session to $85.76 per barrel. Brent crude climbed 2.71% to $90.49 per barrel. On Wall Street, the Standard & Poor's (S&P) 500 index fell 0.33%, and the Nasdaq Composite slipped 0.12% to end the session.