Despite the soaring US Treasury yields, the won-dollar exchange rate fell today (the 30th) due to heavy dollar-selling (nego) orders from exporters and caution surrounding potential market intervention by Japanese foreign exchange authorities.

According to the Seoul foreign exchange market, the closing price for the won against the US dollar at 3:30 p.m. was tallied at 1,352.8 won per dollar.

This is a decrease of 3.9 won from the previous trading day's close (1,356.7 won).

Extending its decline for a second consecutive day following the previous session, the exchange rate dropped to the low 1,350 won range.

The 3:30 p.m. rate marks the lowest level since the 14th of this month (1,347.3 won).

The exchange rate started the session at 1,350.6 won and rose to as high as 1,359.4 won during the morning session, but subsequently erased all of its gains and turned downward.

Robust export performance allowed companies with ample dollar reserves to flood the foreign exchange market with dollar supplies ahead of the quarter-end and month-end, driving down the exchange rate.

Ongoing vigilance regarding potential authorities' intervention by Japan to defend against the depreciation of the yen also led to a stronger yen, which further lent support to a stronger won.

As of 3:30 p.m., the yen-dollar exchange rate stood at 156.804 yen per dollar, down 0.53 yen from the previous day.

It fell as low as 156.378 yen during the session, marking the lowest level in 12 days since the 18th (156.124 yen).

However, the decline in the won-dollar exchange rate was limited due to the upward pressure from rising US Treasury yields.

The dollar index, which measures the greenback's value against six major currencies, stood at 101.234.

Although it fell by 0.02, it still remained firm above the 101 mark.

On the 29th (local time), the yield on the 10-year US Treasury bonds soared to 5.294%, breaking its highest record since June 2007 once again, while the yield on the 30-year US Treasury bonds hit 5.621%, setting a record high not seen since June 2002.

Foreign investors also net sold 2,053.6 billion won worth of shares on the domestic securities market today.

Extending their selling dominance to four consecutive trading days, this helped check the pace of the won-dollar exchange rate's decline.

Meanwhile, the won-yen cross rate rose by 0.46 won to 862.73 won per 100 yen.

(Photo: Yonhap News)