23.07.202602:09:02UTC+00South Korean Won Advances to Over 2-Month High

The South Korean won strengthened to around 1,468 per dollar, its highest level since early May, supported by improved domestic growth prospects. South Korea’s economy grew 0.6% in the second quarter, surpassing the Bank of Korea’s 0.2% forecast, as solid exports—especially in semiconductors—and resilient private consumption helped offset persistent weakness in construction activity. The currency also drew support from continued foreign demand for Korean assets, with overseas investors returning to local equities as the KOSPI rebounded, while better sentiment toward the country’s technology sector and export outlook underpinned capital inflows. At the same time, escalating US–Iran tensions and rising oil prices remained key downside risks, as threats of further strikes on Iranian infrastructure and attacks on shipping routes fueled concerns about regional instability and potential disruptions to global energy supplies.