Korean won sharply weakens against US dollar
The won-dollar exchange rate is displayed at a dealing room of Hana Bank in Seoul, Wednesda. Yonhap
The Korean won sharply weakened against the U.S. dollar Wednesday, as foreigners appeared to have purchased dollar futures and covered dollar-short positions.
The won was quoted at 1,337.7 won per dollar at 3:30 p.m., down 14 won from the close of the previous stock trading session.
At one point in afternoon trading, the won dropped to a low of 1,342.3 won per dollar.
Although the U.S. Federal Reserve is expected to leave its key policy rate unchanged this week, traders have been monitoring whether the U.S. central bank will hint at a rate hike later this year.
Foreign investors purchased a net 815.8 billion won ($609 million) worth of local shares during the latest regular stock trading session, with the benchmark Korea Composite Stock Price Index jumping 6.63 percent to close at 6,012.44.