Won Closes Above 1,540 Per Dollar for First Time in 17 Years Despite Lee's Remarks

The won closed above 1,540 per dollar in daytime trading for the first time in 17 years, as accelerating foreign outflows from South Korea’s stock market and a stronger US dollar added to pressure on the currency.

In Seoul trading on June 24, the won ended the session at 1,541.8 per dollar, 2.7 won weaker than the previous trading day. It was the first close above 1,540 since March 9, 2009, when the exchange rate ended at 1,549 won.

The won opened at 1,534.9 per dollar, 4.2 won stronger than the previous session, amid caution over possible intervention by authorities. It soon reversed direction and weakened to 1,542.9 won in afternoon trading. The move came even after President Lee Jae Myung said on June 23 that an exchange rate in the mid-1,500 won range was excessively high, underscoring market sensitivity despite heightened intervention concerns.

Heavy selling of domestic stocks by foreign investors appears to have driven demand for dollars. Foreign investors were net sellers of about 4.6 trillion won ($3.33 billion) on the Korea Exchange's benchmark KOSPI on June 24. They have been net sellers for four consecutive trading days since June 19. Cumulative net sales over those four sessions totaled 11.7 trillion won ($8.48 billion).

A stronger dollar following last week's Federal Open Market Committee meeting has also weighed on the won. The dollar index, which measures the greenback against six major currencies, rose above 101.5 during the session. That marked the highest level in about 13 months since May 13, 2025, when it reached an intraday high of 101.795.

"The won could climb to its previous high of 1,560 at any time," said Moon Down, an analyst at Korea Investment & Securities.

Seong-mi Shim, Hankyung.com reporter smshim@hankyung.com