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2025.11.0503:10:50UTC+00Korean Won Falls on Dollar Strength

The South Korean won declined to approximately 1,448 per dollar on Wednesday, marking the fifth consecutive session of losses due to the strengthening dollar. Investor sentiment remained wary as continuous structural demand for the dollar put pressure on the won, despite government efforts to stabilize the exchange rate. The estimated $150 billion in outbound investments committed under the new South Korea–US trade framework is unlikely to return soon, maintaining sustained upward pressure on the USD/KRW pair and limiting the effectiveness of policy stabilization measures. Furthermore, the ongoing rally in US technology stocks, driven by AI advancements, has increased the won’s sensitivity to movements in the US market, underscoring the broader regional reliance on a select few large-cap tech companies.

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