South Korean Currency Sinks To 13-year Low At 1,326 To U.S. Dollar

The South Korean won has hit its lowest point against the U.S. dollar in 13 years and two months.

The exchange rate for the won passed the 13-hundred-20 mark just minutes after the market opened on Friday, and closed at 13-26.1.

From the previous session, it was an increase of 14 won.

The last time the won reached 13-20 against the dollar was in April 2009.

The won has been depreciating on concerns about a global recession and as the U.S. Federal Reserve raises interest rates, which makes the dollar more attractive to investors.

Experts forecast the won to weaken further in the second half of the year, as the dollar will likely remain strong for the time being.

Despite the weakening won, however,.. the country’s benchmark stock index, the KOSPI, recovered from an early decline to end with a gain.

The KOSPI closed at just under 2,3-hundred-31 for a gain of zero.3-7 percent.

Foreign investors increased their net buying of semiconductor shares.

Samsung Electronics jumped nearly 4.4 percent, recovering to above 60-thousand won for the first time in around a month.

SK hynix also gained 5 percent.

But with the combination of a weaker won, high inflation and high interest rates, the uncertainty is expected to continue for a while.