원-달러 환율 11개월 만에 1300원대로…코스피는 5% 급락, 6500선 무너져

A year and eleven months after the one-dollar exchange rate reached 1,300 won, the Korean won has plummeted to a level below 6,500 won. This sudden drop in the exchange rate can be attributed to investors moving their dollars to US stocks. The Korean stock market, namely the Korea Exchange KOSPI, has suffered a significant 5% decline and has fallen as low as 6,500 points.

The last time the KOSPI traded below 6,500 points was on September 29th of last year, when the exchange rate fell below 1,400 won. The decline in the exchange rate can be mainly attributed to SK Hyundi, a major Korean company, raising funds through an ADR listing on the NASDAQ and subsequently injecting a large amount of dollars into the domestic market.

This has led to a chain reaction as numerous domestic exporters have started to acquire dollars to hedge against potential losses. Despite the concerns over the US deficit, the strong dollar scenario has emerged due to the inflow of dollars into the domestic market. Economist Park Hyung-jung from Woori Bank suggests that this situation is an unprecedented shift in the foreign exchange market caused by a significantly weakened yen exchange rate, which has not been seen before.

However, it is expected that the downward trend in the exchange rate will continue for the remainder of this year, and companies should closely monitor the situation.