Korea: Won weakens in August
September 21, 2011
By 31 August, the Korean won (KRW) had depreciated 1.2% in nominal terms over the previous month and traded at KRW 1,067 per USD. The August depreciation contrasted the 1.3% appreciation observed in July, when the KRW traded at an almost three-year high of 1,055 per USD. That said, the reading represented the fastest monthly depreciation since November 2010. Despite the monthly drop, the KRW has now appreciated an accumulated 6.0% versus the USD this year and, at the current level, is trading 12.0% above the same month last year. The won weakened in August amid concerns of a global economic slowdown, which weighs heavily on Korea's economic prospects.
Author: Armando Ciccarelli, Head of Data Solutions