FX.co ★ South Korean Won Rises Slightly

The South Korean won strengthened slightly to approximately 1,420 per dollar on Friday, yet remained near its weakest point in five months as a consistently strong dollar continued to exert pressure on Asian currencies. Throughout the week, the dollar maintained its strength, largely driven by significant declines in the yen and euro. On the domestic front, market sentiment remained cautious after reports revealed that over 470,000 South Korean companies failed to achieve net profitability in 2024, underscoring challenges in demand and fiscal revenue pressure. However, the outlook improved somewhat, buoyed by a fourth consecutive monthly increase in the nation's foreign reserves, which reached about USD 422 billion in September, offering a slight cushion against external economic fluctuations.