The South Korean won strengthened against the U.S. dollar on the back of softer-than-expected U.S. producer inflation and heavy foreign buying of local equities, before late-session importer demand and bargain hunting erased much of the move. The won-dollar rate ended regular trading in Seoul at ₩1,418.3 on the 14th, down ₩1.1 from the previous session, after touching ₩1,411.8 in morning trade. U.S. July Producer Price Index data came in below expectations, reinforcing a broader cooling trend after the Consumer Price Index release and reducing expectations for additional Federal Reserve rate hikes. Risk appetite also improved, lifting Wall Street and South Korean stocks. The KOSPI rose 2.42% to 6,977.94, with foreign investors buying a net ₩3.04 trillion of shares, prompting custodial dollar selling that supported the won. Lower oil prices and exporter dollar sales, especially from semiconductor companies, also helped, though importer settlement demand, residents' overseas investment-related conversions, and continued yen weakness limited the won's gains. Moon Jung-hee of KB Kookmin Bank said the exchange rate is likely to fluctuate within a ₩1,382 to ₩1,436 band for the time being, citing the 100-week and 200-week moving averages as key support markers.