S. Korean currency rises amid hopes for Strait of Hormuz reopening

▲ This Reuters file photo shows cargo ships in the Gulf, near the Strait of Hormuz, as seen from northern Ras al-Khaimah, near the border with Oman's Musandam Governorate in the United Arab Emirates, on March 11, 2026. (Yonhap)

Korean currency-volatility

S. Korean currency rises amid hopes for Strait of Hormuz reopening

SEOUL, April 3 (Yonhap) -- The South Korean won strengthened against the U.S. dollar Friday, rebounding from a steep decline in the previous session, as talks on reopening the Strait of Hormuz showed signs of progress amid a prolonged conflict in the Middle East.

The won opened at 1,510.8 per dollar, up 8.9 won from the previous session.

Investors remained jittery about escalating tensions in the Middle East after U.S. President Donald Trump said during a prime-time address on Wednesday (U.S. time) that the United States would hit Iran "extremely hard over the next two to three weeks" and "bring them back to the Stone Age," without providing a timeline for ending the conflict.

The warning dampened hopes for a swift resolution to the monthlong conflict, which has pushed up oil prices amid supply disruptions and fueled fears of inflation and a potential economic slowdown.

But Iran's Deputy Foreign Minister Kazem Gharibabadi said Tehran is drafting a protocol with Oman to monitor maritime traffic through the Strait of Hormuz, raising hopes for progress in reopening the strategic waterway, which has effectively been shut since the start of the war in late February.

The U.S. dollar index, which measures the greenback against six major currencies, fell to 99.959 after rising as high as 100.258 following Trump's speech.

The benchmark Korea Composite Stock Price Index (KOSPI) rose 3.3 percent to 5,406.75 in the first 15 minutes of trading Friday.

Domestic and global foreign exchange and stock markets have seen heightened volatility as U.S.-Israeli strikes on Iran that began late last month escalated into a broader regional conflict. Late last month, Trump set an April 6 deadline for Iran to reopen the Strait of Hormuz, warning that the U.S. would resume strikes on its energy infrastructure if it failed to comply.

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