Won tests 2009 crisis-era peak after hitting highest level since March 2009

The Korean won tested levels last seen during the global financial crisis after climbing to its highest level since March 2009 in overnight trading Friday and into early Saturday. The won touched 1,555.5 per dollar in overnight trading, its highest level against the U.S. currency since March 2009, after stronger-than-expected U.S. employment data boosted the dollar and reduced expectations for near-term Federal Reserve interest rate cuts. The move brought the won within 5.5 won of the 1,561 won intraday peak recorded on March 10, 2009, during the global financial crisis. Market watchers attributed the latest surge to a combination of factors, including a stronger dollar, continued foreign selling of Korean equities and concerns over the economic impact of the prolonged conflict in the Middle East. The won has come under mounting pressure in recent weeks as foreign investors sold Korean stocks and sought the relative safety of dollar-denominated assets. Stronger U.S. economic data has further fueled expectations that the Federal Reserve could keep interest rates higher for longer, support

Go to News Site