The South Korean won steadied around 1,461 per dollar, halting a sharp selloff in the previous session that had driven it to a 17-year low, as authorities acted swiftly to curb market volatility amid escalating tensions in the Middle East. The stabilization followed President Lee Jae Myung’s directive to implement a KRW 100 trillion financial stabilization package during an extraordinary Cabinet meeting in Seoul. The session was called in response to last weekend’s US–Israeli strikes on Iran, which have intensified geopolitical risks. The package aims to support liquidity, stabilize markets, and ease immediate depreciation pressure on the won amid rising oil prices and a stronger dollar. Further lifting sentiment, South Korea’s foreign reserves rose for the first time in three months, reaching $427.62 billion at the end of February, driven by investment returns and the issuance of foreign currency-denominated Exchange Stabilization Fund bonds.
