Won hits year-to-date low for 3rd straight session despite foreign investors' W500b net selling

The won-dollar exchange rate fell to the mid-1,320s during intraday trading Tuesday, marking a new year-to-date low for the third consecutive session.

The won closed at 1,328.1 per dollar in Seoul's foreign exchange market Tuesday afternoon, down 2.2 won from Monday's close, based on the 3:30 p.m. daily benchmark rate.

The won opened at 1,330.3 per dollar and fell as low as 1,325.4 around 9:52 a.m., then continued to move in the mid-to-upper 1,320s for the rest of the session.

Both the daily close and the intraday low were the weakest since Oct. 2, 2024, when the rate closed at 1,319.3 won and touched an intraday low of 1,317.1 won. The won has set a new year-to-date low in each of the three sessions since Friday.

The won has continued to strengthen despite a firmer dollar and net selling of domestic shares by foreign investors, as exporters kept up a steady stream of dollar sales.

The Kospi fell 3.73 percent to close at 5,552.74 on Tuesday, giving back most of the 3.85 percent gain posted over the previous two sessions. Foreign investors sold a net 500 billion won ($360 million) worth of domestic shares.

The dollar index, which measures the greenback against six major currencies, stood at 101.757, down 0.217 from Monday.

The won-yen cross rate fell 2.05 won from the previous session to 840.20 won per 100 yen, touching an intraday low of 835.86 won — a new year-to-date low and the weakest level since Jan. 2, 2008, when it stood at 833.4 won.