South Korea’s currency weakened sharply on Monday, falling to its lowest level in 17 years as global oil prices climbed amid escalating tensions in the Middle East, local media reported.
The won opened trading at 1,501 per dollar, slipping 7.3 won from the previous session and crossing the 1,500-won threshold during intraday trading for the first time since March 12, 2009, when the country was grappling with the impact of the Global Financial Crisis, according to Yonhap News Agency.
The currency later recovered slightly, fluctuating in the mid-1,490 won range.
The decline followed another surge in global oil prices overnight after Donald Trump indicated that the ongoing conflict with Iran could continue for several more weeks and urged the international community to assist in reopening the Strait of Hormuz to oil tankers.
The war, now in its third week, has significantly disrupted global oil supplies. The Strait of Hormuz, a critical maritime corridor controlled by Iran, has effectively been closed since the start of the US‑Israeli offensive on Iran on Feb. 28.
Fighting has intensified since then, leaving about 1,300 people dead, including Iran’s Supreme Leader, Ali Khamenei.
Iran has responded with drone and missile strikes targeting Israel, Jordan, Iraq and several Gulf nations hosting United States military assets.
