A clerk sorts USD 100 banknotes at the headquarters of Hana Bank in Seoul, South Korea. Photo by YONHAP / EPA
Aug. 10 (Asia Today) -- South Korea's won has strengthened by nearly 140 won against the U.S. dollar in little more than a month, reversing fears that the exchange rate could approach 1,600 and raising the prospect of a return to the 1,300-won range.
The won closed at 1,418.4 per dollar at 3:30 p.m. Sunday, down nearly 140 won from an intraday level of 1,555.8 on July 2.
The reversal has been driven by expectations of increased dollar supply associated with SK hynix's U.S. depositary receipt listing, easing foreign investor portfolio rebalancing, strong semiconductor exports and record current-account surpluses.
Expectations surrounding SK hynix emerged as a major turning point after its U.S. depositary receipts were listed July 10.
