Won Nears 1,540 Per Dollar in Night Trading, Highest Since 2009 Financial Crisis

The won-dollar exchange rate surged more than 10 won on June 4, approaching 1,540 won per dollar in night trading.

According to Yonhap News Agency and other local media, the won closed daytime trading in Seoul at 1,529.7 per dollar, up 13.3 won from the previous session. It was the highest daytime close in about two months since March 31, when it ended at 1,530.1 won.

The won has closed above 1,500 per dollar for 13 straight trading sessions since finishing at 1,500.8 won on May 15. That is the longest such stretch since a 49-session run from December 1997 to March 1998 during the foreign exchange crisis.

The move extended into night trading, with the exchange rate rising to as high as 1,538 won per dollar at about 4:45 p.m. on June 4. That was the highest level since March 10, 2009, when it reached 1,561 won intraday during the financial crisis.

The won's weakness has been driven by geopolitical tensions surrounding Iran and continued selling in domestic stocks by foreign investors. Foreign investors were net sellers of 6.988 trillion won ($5.06 billion) on the Kospi on June 4. They have sold shares on South Korea's main stock market for 19 straight trading sessions.

International oil prices also climbed into the upper $90s a barrel amid tensions in the Middle East.