Today (29th), the won/dollar exchange rate broke through the 1,350 won intraday mark for the first time in 13 years and 4 months.
As of 12:54 p.m. in the Seoul foreign exchange market today, the exchange rate of the won against the dollar is 1,349.3 won, up 18 won from the closing price of the previous trading day.
The exchange rate opened at 1,342.5 won, up 11.2 won on the day, and rose to 1,350.0 won at 12:25.
The exchange rate peaked at 1,350.8 won at 12:32, then turned downward and is currently trading below the 1,350 won line.
This is the first time the exchange rate has exceeded 1,350 won since April 29, 2009 (1,357.5 won based on the high price).
This is the effect of the strengthening of the dollar after Federal Reserve (Fed) Chairman Jerome Powell's hawkish remarks (preferring monetary tightening).
Chairman Powell said at the economic policy symposium (Jackson Hall Meeting) held in Jackson Hole, Wyoming, US on the 26th local time, not only will the interest rate rise continue in the future, but also, "It is necessary to maintain a restrictive (monetary) policy stance for the time being." .
Chairman Powell said, "It's not enough to convince us that inflation has gone down with just one improvement," Powell said. mentioned.
The authorities made verbal intervention statements about the sharp rise in the won/dollar exchange rate on the same day, but it was not enough to stop the rise in the exchange rate.
First Vice Minister of Strategy and Finance Bang Ki-sun held a market situation inspection meeting today at the Export-Import Bank of Korea in which the departments within the Ministry of Strategy and Finance and the International Financial Center participated and said, "We will strengthen policy efforts to stabilize the market in case of excessive concentration in the market." said.
(Photo = Yonhap News)