USD/KRW closed regular trading on August 25 at 1,386.1 won, up 3.7 won from the previous session after opening at 1,380.3 and falling to 1,378.9 as semiconductor exporters sold dollars for month-end settlements. Bargain hunting, importer demand and an overnight rebound in the dollar then lifted the pair to 1,386.2. The move followed an August 24 decline to 1,382.4, the lowest close since July 30 of the previous year, and an intraday low of 1,376.50, a 13-month low. The won’s appreciation has reduced local-currency returns on unhedged U.S. stocks, gold and Treasuries, leaving comparable currency-hedged ETFs well ahead. Foreign investors sold a net 3.8206 trillion won of Korean shares on August 25, although the KOSPI closed up 0.68% at 6,742.74. Analysts said the pair could approach 1,360 or, under stronger overshooting, 1,345–1,350 won, but that breaking below 1,350 may be difficult. Markets remain focused on exporter dollar supply, U.S. yields, Federal Reserve policy, the Bank of Korea’s August 27 decision and upcoming U.S. inflation data.