The won closed at 1,372.5 per dollar in Seoul daytime trading on Aug. 28, its strongest level in 13 months, supported by consecutive Bank of Korea rate increases, robust semiconductor exports and expected dollar selling by Samsung Electronics and SK hynix. The central bank’s benchmark rate rose to 3.0%, narrowing the gap with the upper end of the U.S. policy rate at 3.75% to 0.75 percentage point, the narrowest since November 2022. The Institute of International Finance said South Korea’s current-account surplus could reach about 10% of GDP by next year and that the won could recover toward pre-Covid-19 levels. Samsung Electronics and SK hynix have announced major domestic semiconductor investments and may convert overseas export proceeds into won to fund facilities and shareholder returns. The dollar later rebounded after Federal Reserve Chair Kevin Warsh emphasized price stability in a Jackson Hole speech, leaving the exchange rate at 1,379.5 as of 6 a.m. on Aug. 29. Analysts said the won could move toward 1,340 to 1,350, although U.S. monetary policy, the dollar’s direction and overseas investment flows remain significant risks.