USD/KRW Falls Below 1,500 on July 10 as Exporters Boost Forward Sales

According to Yonhap InfoMax, the US dollar fell to 1,501.40 Korean won on July 10, dropping 4.70 won from the previous Seoul session close of 1,506.10 won. The currency breached the 1,500 won level as export companies increased forward exchange sales and the South Korean government signaled caution about won weakness.

A deputy director at the Finance Ministry stated that current exchange rates remain disconnected from fundamentals, noting that exporters' forward sales will likely accelerate. Major shipbuilder Hanwha Ocean sold approximately $2 billion in forward contracts with domestic and foreign banks, while SK Hynix's planned ADR listing fueled expectations of additional dollar supply, supporting won appreciation.