The USD-KRW exchange rate traded in the early 1,480 KRW range during the New York session on the 20th. At 9:35 PM, the rate stood at 1,482.30 KRW, up 3.80 KRW from the previous session, according to the foreign exchange market. The rate reversed earlier declines driven by SK Hynix's American Depositary Receipt (ADR) listing fund conversion and export company negotiations after Yemen's Houthi rebels announced an immediate maritime blockade against Saudi Arabia. The blockade announcement, which threatens to close the Red Sea route in addition to the Strait of Hormuz, pushed the dollar index higher and lifted the USD-KRW rate during the New York trading hours.
USD-KRW Rate Movements on the 20th
The USD-KRW rate showed volatility throughout the trading day. At 3:30 PM, the rate traded at 1,478.40 KRW, down 0.10 KRW from the previous session. SK Hynix's ADR listing fund conversion and export company negotiation volumes acted as downward pressure factors during the afternoon session.
The rate rebounded after passing through the London session and entering the New York session. By 9:35 PM, the rate had climbed to 1,482.30 KRW, representing a 3.80 KRW increase from the previous session close.
SK Hynix Fund Conversion and Houthi Blockade Announcement Drive Rate Shifts
SK Hynix's ADR listing fund conversion and export company negotiations initially pushed the USD-KRW rate lower during the afternoon. US-Iran tensions escalated to near full-scale conflict levels, but these domestic supply factors outweighed geopolitical concerns in the early trading hours.
Yemen's Houthi rebels announced an immediate maritime blockade against Saudi Arabia during the New York session. Saudi Arabia faces potential closure of both the Strait of Hormuz and the Red Sea routes. The blockade announcement drove the dollar index higher, which in turn lifted the USD-KRW rate.
The dollar index traded at 100.890 at the time of the rate recording.
Cross-Currency Rates at 9:35 PM
At 9:35 PM on the 20th, the USD-JPY rate traded at 162.400 yen, down 0.005 yen from the previous session. The EUR-USD rate stood at 1.14185 dollars, down 0.00008 dollars from the previous session. The offshore USD-CNY rate traded at 6.7702 yuan.
FAQ
What was the USD-KRW exchange rate at 9:35 PM on the 20th?
The USD-KRW exchange rate stood at 1,482.30 KRW at 9:35 PM on the 20th, up 3.80 KRW from the previous session.
Why did the USD-KRW rate reverse from earlier declines?
The rate reversed after Yemen's Houthi rebels announced an immediate maritime blockade against Saudi Arabia. This announcement pushed the dollar index higher to 100.890, which lifted the USD-KRW rate during the New York trading session.
What factors initially pushed the USD-KRW rate lower on the 20th?
SK Hynix's American Depositary Receipt (ADR) listing fund conversion and export company negotiation volumes acted as downward pressure factors, bringing the rate to 1,478.40 KRW at 3:30 PM.
