The Korean won has recorded the strongest appreciation among major currencies since July, gaining 11.90% against the dollar from July 1 to August 21, according to Bank of Korea data. The currency closed at 1,382.4 per dollar in Seoul on the 24th, down 4.1 won from the previous session, after reaching 1,376.50 during the day, its lowest intraday level in about 11 months and a new low for the year. The won had set fresh intraday lows for four consecutive sessions since the 19th. Strong semiconductor exports have contributed to a $191 billion current-account surplus in the first half, while spot and forward dollar sales by non-financial private companies rose 71.5% from a year earlier to $263.59 billion in the second quarter. Demand for won-denominated funds has also increased because of corporate taxes, dividends and domestic investment. The won's 11.90% rise exceeded gains of 6.03% for the Norwegian krone, 2.87% for the British pound, 2.32% for the euro and 2.31% for the Japanese yen. Analysts said the move reflects won-specific supply and demand rather than broad dollar weakness alone. After the Bank of Korea raised its base rate to 2.75% from 2.50% last month, 13 of 20 experts surveyed by Seoul Economic Daily forecast another 0.25 percentage point increase at the Monetary Policy Board meeting on the 27th. Lee Nam-kang of Korea Investment Holdings projected the won-dollar rate could fall to the low-to-mid 1,300 range by year-end, although dividend remittances by foreign investors and bargain-hunting after the sharp exchange-rate decline could limit further gains. The key question is whether corporate dollar selling becomes a structural trend beyond the fall.