South Korea pledges FX stability but holds back immediate market intervention

South Korea’s finance chief reaffirmed that authorities stand ready to stabilize the won but opted against announcing any short-term intervention. The decision follows months of volatility driven by global dollar strength and uncertainty over monetary policy shifts in major economies. Investors expressed disappointment as the won has fallen more than 7% during the second half of 2025. Officials said the government may use policy tools if speculative trading intensifies.