The South Korean won climbed to its top value in almost six years on Wednesday against the world's reserve currency as confidence spread about the nation permitting the monetary unit's increase, according to Bloomberg.
Worldwide investors were set to buy more South Korean equities as compared to what they had vended. The won benefited from recent dollar weakness as the Dollar Spot Index, a metric that measures the U.S. dollar's value against 10 major peers, dropped about 0.6 percent during the Tuesday trade session.
"Further gains in the won will depend on how much local exporters sell the dollar," currency dealer Jahng Won with Shinhan Bank in Seoul told the news source on Wednesday. "There is still some caution against authorities stepping in, and investors want to check their stance."
The South Korean won rose roughly 0.7 percent against the U.S. dollar during the Wednesday trade session, achieving its highest value since the middle of August of 2008.
Healthy export data and strong, consistent demand for the won also are proving to be beneficial to the performance of the monetary unit, according to The Wall Street Journal.
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