Dollar-Won Rate Trades Above 1,500 Won in NY Session Despite Earlier Declines

The dollar-won exchange rate traded above the 1,500 won level in the New York session on the 10th despite earlier declines. At 9:25 PM in the foreign exchange market, the rate stood at 1,505.00 won, down 1.1 won from the previous session, after regular trading had closed at 1,501.40 won, down 4.70 won. The rate's rebound followed a day of government verbal intervention and corporate dollar supply news. A senior Ministry of Finance official stated the current rate still deviates from fundamentals, while Hanwha Ocean sold $2 billion in forward contracts and SK Hynix ADR-related dollar supply factors pressured the rate lower during regular hours. The rate partially recovered its losses after entering the London session timeframe.

Ministry of Finance Official States Rate Deviates from Fundamentals

A senior Ministry of Finance official issued verbal intervention remarks on the 10th. Moon Ji-seong, International Economic Management Officer (Vice Minister level) at the Ministry of Finance, told Yonhap Infomax, "The current exchange rate still deviates from fundamentals," adding, "Second-half supply and demand will gradually change to reflect fundamentals."

Hanwha Ocean Sells $2 Billion Forward Contracts

News emerged of forward contract sales on the 10th. Hanwha Ocean sold $2 billion worth of forward contracts through 2-3 domestic banks and foreign banks.

SK Hynix ADR Trading Cited as Dollar Supply Factor

SK Hynix American Depositary Receipt (ADR) trading and potential dollar supply from future public offering procedures also acted as factors pushing the dollar-won rate lower.

Rate Rebounds During London and New York Sessions

The dollar-won rate gave back some of its losses after entering the London session timeframe. In the New York session, the rate traded sideways in the 1,504-1,506 won range.

Dollar Index and Major Currency Pairs

The dollar index traded at 100.847. At the same time, the dollar-yen rate traded at 161.811 yen, up 0.004 yen from the previous session, while the euro-dollar rate traded at 1.14303 dollars, down 0.00021 dollars from the previous session. The offshore dollar-yuan traded at 6.7790 yuan.

FAQ

What was the dollar-won exchange rate at 9:25 PM on the 10th?

The dollar-won exchange rate stood at 1,505.00 won at 9:25 PM on the 10th, down 1.1 won from the previous session.

What did the Ministry of Finance official say about the exchange rate on the 10th?

Moon Ji-seong, International Economic Management Officer at the Ministry of Finance, stated on the 10th that "the current exchange rate still deviates from fundamentals" and "second-half supply and demand will gradually change to reflect fundamentals."

How much in forward contracts did Hanwha Ocean sell on the 10th?

Hanwha Ocean sold $2 billion worth of forward contracts through 2-3 domestic banks and foreign banks on the 10th.