The won-dollar exchange rate is fluctuating in the mid-1320s.
As of 9:07 a.m. on October 23, the exchange rate in the Seoul foreign exchange market is 1,325.9 won per U.S. dollar. The rate was trading at 1,326.5 won, up 2.3 won from the previous day's closing price as of 6 a.m.
This slight increase is attributed to heightened risk aversion. On October 22, U.S. stocks fell sharply, particularly in technology shares, as skepticism about AI investments resurfaced.
The Dow Jones Industrial Average closed up 11.89 points (0.02%) at 52,867.98. In contrast, the S&P 500 index dropped 93.74 points (1.21%) to close at 7,663.43, while the Nasdaq Composite plummeted 694.0 points (2.6%) to finish at 26,008.86.
Funds flowed into safe-haven U.S. Treasury bonds, leading to a decline in bond yields. The yield on the 10-year Treasury note fell by 19.3 basis points to 4.952%, marking the largest daily drop since the regional banking crisis in March 2023.
International oil prices surged amid rising military tensions in the Middle East, raising concerns about oil supply disruptions. Brent crude futures closed at $113.17 per barrel, up 4.00%, while West Texas Intermediate (WTI) rose 2.39% to $99.47 per barrel. Brent prices reached their highest level since May 4.
The dollar index, which measures the value of the dollar against six major currencies, fell by 0.06% to 101.632.
The exchange rate is expected to show fluctuations throughout the day. Min Kyung-won, an economist at Woori Bank, stated, "Today, the won-dollar exchange rate is expected to decline during Asian trading due to exporter negotiations and rise during European and New York trading as the risk-off sentiment continues."
He added, "In European and New York markets, a preference for safe assets, declining U.S. Treasury yields, and a weaker dollar are becoming patterns. Given the unfavorable atmosphere for the won, if global stock market sell-offs persist, the upward movement of the exchange rate is likely to increase significantly."
* This article has been translated by AI.
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