The screen displays the Korean won-U.S. dollar exchange rate and the KOSPI index at a dealing room at Hana Bank's headquarters in central Seoul, Wednesday. Yonhap
The Korean currency rose for the second consecutive session against the U.S. dollar Wednesday, as oil prices have dropped amid guarded hopes the ongoing crisis in the Middle East could draw to an end.
The won was quoted at 1,466.5 won, up 2.7 won from the previous session.
The currency opened lower following the previous session's marked increase but later rebounded to its strongest level since Feb. 27.
The foreign exchange market and global oil prices have shown high volatility since last week as the U.S.-Israeli attacks on Iran have escalated tensions across the broader Middle East region.
On Monday, the won fell to its lowest level since March 12, 2009, when the country was reeling from the global financial crisis, but sharply rebounded the following session after U.S. President Donald Trump hinted that the war could end soon.
During a press briefing on Tuesday (U.S. time), the White House said the U.S. military operations against Iran will end when Trump has determined that military objectives have been met regardless of Iran's declaration of surrender.
Korean authorities have been scurrying to devise measures to respond to surging oil prices and enhanced market volatility.
"The government and the Bank of Korea (BOK) will closely coordinate to carry out additional market-stabilizing measures in a timely manner, including emergency buybacks and outright purchases of government bonds," Finance Minister Koo Yun-cheol said during an emergency economic ministers' meeting earlier in the day.
Global oil prices experienced sharp intraday swings overnight before stabilizing amid mixed messages from U.S. officials about the country's escort of oil tankers through the Strait of Hormuz.
Source: Korea Times News
