Korean won expected to weaken further next month: poll

▲ The closing won-dollar exchange rate is displayed on a screen inside the dealing room of Hana Bank in central Seoul on Jan. 12, 2026. (Yonhap)

bond experts-exchange rate outlook

Korean won expected to weaken further next month: poll

SEOUL, Jan. 13 (Yonhap) -- An increased number of bond experts in South Korea believe the local currency may weaken further against the U.S. dollar down the road, a poll showed Tuesday.

According to a survey of 100 bond experts conducted by the Korea Financial Investment Association (KOFIA), 28 percent expected the Korean won to fall further against the greenback next month, up 7 percentage points from December, when 21 percent of those surveyed had anticipated the won to decline this month.

In contrast, only 10 percent expected the won to appreciate in February, down 19 percentage points from the previous survey.

"More experts are betting on a rise in the won-dollar exchange rate, citing bargain-hunting demand since the rate's temporary fall late last month and other external factors, including the Japanese yen's weakness," the association said.

The Korean won had weakened to its lowest level in eight months of 1,483.6 won per dollar in late December but rebounded to the 1,440 won level following verbal intervention from local authorities and the state pension service's strategic hedging.

The local currency, however, has been weakening once again this year, closing at 1,468.4 won per dollar Monday.

On the policy rate, an overwhelming majority, or 96 percent, of bond experts expected the Bank of Korea to hold its key rate steady at 2.5 percent for a fifth consecutive time at its policy meeting Thursday.

The KOFIA said its bond market survey index (BMSI) came to 96.8 for February, down 3.1 percentage points from 99.9 for January. A BMSI reading below 100 means more experts expect bond market conditions to worsen.

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