The KRW/USD exchange rate surpassed 1,460 during trading on the 5th due to U.S. President Donald Trump's tariff remarks, but the upward momentum was limited by the recovery of risk-on sentiment.

Exchange Rate Trends:

The KRW/USD exchange rate closed at 1,454.5 in the Seoul foreign exchange market, down 7.3 won from the previous trading day.
While initially staying in the mid-1,450 range, the rate rose to 1,460.5 after President Trump's congressional address.
However, it stabilized in the mid-1,450 range in the afternoon due to the weakening of the global dollar and the recovery of risk-on sentiment.

President Trump's Tariff Remarks:

In his congressional address, President Trump asserted that "South Korea's average tariffs are four times higher (than the U.S.)" and expressed his intention to proceed with his tariff plans.
Immediately after this statement, the KRW/USD exchange rate and the dollar index temporarily rose.

Exchange Rate Outlook:

Experts predict that while South Korea's inclusion in Trump's tariff target is a factor that could push the exchange rate up, the weakening dollar and the recovery of risk-on sentiment will limit the upward range.
The U.S. Secretary of Commerce's remarks hinting at tariff relief and the cautious stance of the Chinese ambassador to the U.S. also contributed to stabilizing investor sentiment.

KRW/JPY Cross Rate:

The KRW/JPY cross rate fell by 6.32 won to 972.29 won per 100 yen, indicating a slowdown in the upward trend.

[Copyright (c) Global Economic Times. All Rights Reserved.]