FX.co ★ South Korean Won Rises on Reform Hopes

The South Korean won appreciated to approximately 1,365 against the dollar on Monday, edging closer to recent multi-month highs. This increase was fueled by growing investor confidence in President Lee Jae-myung's corporate reform agenda, which aims to enhance governance and improve shareholder returns. These initiatives have bolstered both the won and local stock markets, allowing the currency to make a notable impression in global markets. Remarkably, the won strengthened even as the US dollar experienced gains, driven by safe-haven demand due to Middle East tensions and a diminishing likelihood of US Federal Reserve rate cuts amid rising oil prices. While other currencies saw declines, the won's gains underscore a rising investor trust in South Korea's policy trajectory, although it remains vulnerable to global risks.