The South Korean won weakened to around 1,477 per dollar on Monday, marking its lowest level in over eight months amid persistent capital outflows, prompting authorities to signal intervention. The finance ministry and Bank of Korea convened an emergency inter-agency meeting over the weekend to discuss measures to stabilize the won and the broader FX market amid recent swings, while the Financial Services Commission vowed “bold, preemptive actions” if required. Market participants continue to price in elevated risk as the won remains at psychologically sensitive levels, prompting concerns over potential spillovers to bond and equity markets. Meanwhile, South Korean equities opened sharply lower, with the KOSPI falling 2.1% in early trade as heavyweight tech shares, including Samsung Electronics and SK hynix, retreated following renewed US AI-sector caution. The equity selloff added pressure on the won, as foreign investors adjusted positions and hedged currency exposure.
