SKorean won closes at more than 10-year high against dollar |
|
|
|
Published
:
Mon, 29 Oct 2007 07:55
|
SEOUL (Thomson Financial) - The South Korean currency, the won, gained for a fourth straight day Monday and closed at a 10-year high against the dollar as global investors sold the greenback on expectations the Federal Reserve will cut interest rates this week.The dollar came under strong selling pressures as foreign investors bought the won to buy more local shares, sending the benchmark Kospi index to a fresh record. Exporters also sold dollar holdings to settle their bill and wage payments for the month.The won retreated in early trade on expectations the government might intervene to stem its rally but quickly turned higher as stocks rose and Hyundai Mipo Dockyard announced a new vessel order worth 435.4 billion won.The won closed at 906.7 per US dollar, up 0.4 percent from Friday's close. It was the currency's strongest level since September 4, 1997, when it closed at 906.30.The KOSPI closed up 34.86 points or 1.7 percent at 2,062.92, surpassing its previous record of 2,058.85 posted on Oct 11. Foreign investors were net buyers of shares worth some 136.1 billion won both on the mainboard and tech-laden KOSDAQ markets.'Fears are brewing that the 900 won/usd mark may be breached,' NH Investment Futures's analyst Lee Jin-Woo said.'The US dollar is sliding around the world as a rate cut by the Fed is [being] taken almost for granted,' Korea Exchange Bank forex dealer Koo Kil-Mo said.'Both the government and market players are nervous about the steep rise of the won. We may see some correction and range-bound trade,' Koo said.(1 US dollar = 916.7 won)eunkyung.seo@thomson.com-es/clCOPYRIGHTCopyright Thomson Financial News Limited 2007. All rights reserved.The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
|
|
|
|
|
|
Print this Story
OFFICIAL CORRECTION - SKorean won strengthens to 10-year highs 