USD/KRW stayed on the back foot as exporter US Dollar selling and a softer external backdrop lent support to the Korean Won, while importer demand and ongoing foreign equity outflows limited the move. Foreign investors sold around USD1.2bn of Korean equities, and the pair was last trading near 1339. Overseas conditions were firmer for the won, with the USD, US Treasury yields and oil prices easing, which kept the short-term bias tilted lower if exporter supply persists.
Government Policy And Internationalisation Efforts
On the policy side, South Korea’s government said it would act to stabilise the FX market given uncertainty linked to the Middle East conflict and monetary policy in major economies, and reiterated plans to internationalise the won while lowering barriers to foreign investment.
Technical Analysis And Market Sentiment
Technically, bullish momentum on the daily chart has faded as RSI declined, leaving risks skewed towards supports at 1333, described as a 2026 low, and 1320; resistance sits at 1350 and 1357, with the latter aligned with the 21-day DMA. Upcoming technology earnings are being watched as a gauge for sentiment.
