South Korea says won still misaligned, sees relief coming in H2

South Korea’s forex authorities said the won remains misaligned with economic fundamentals, but they expect market supply-demand conditions to improve in the second half of 2026 as exporters’ dollar holdings are converted back into the market through FX forwards. The statement amounts to mild verbal support for the Korean won and signals a willingness to intervene more effectively if stability deteriorates, helped by extended trading hours in the dollar-won market. For FX traders, the message is modestly supportive for KRW in the medium term, though no immediate policy action was announced.