[Anchor]
The won-dollar exchange rate, which soared to 1,405 won after former President Donald Trump confirmed his election in the U.S. presidential election, is still trading around 1,400 won today.
In the stock market, both the KOSPI and KOSDAQ indexes are flat.
Connect reporters to find out more about the news. Reporter Ryu Hwan Hong!
How is the exchange rate movement now?
[Reporter]
It's going up and down around 1,400 won.
Today, the won-dollar exchange rate opened at 1,401.1 won in the Seoul foreign exchange market.
Last night, it soared to 1,405 won, but it started slightly lower.
The exchange rate also hit 1,400 won in April, when the exchange rate soared as war clouds rose between Israel and Iran.
It is the first time in seven months that the exchange rate has entered the 1,400 won range since then.
This time, former President Trump won the U.S. presidential election, causing the so-called Trump trade phenomenon.
It refers to the phenomenon of investing in Trump's winning stocks.
Markets predict that if Trump's pledge to raise tariffs is implemented, inflation in the U.S. will rise, making it difficult to cut interest rates.
As a result, dollar buying sentiment has spread.
In Trump's Bitcoin-friendly stance, the price of Bitcoin also exceeded $76,000 for the first time ever.
Some experts predict that the exchange rate will rise to 1,420 won within this year.
As the exchange rate increases, the Korean government is responding with alarm.
A meeting of economy-related ministers was held this morning, and I will listen to Deputy Prime Minister Choi.
[Choi Sang-mok / Deputy Prime Minister for Economic Affairs: As uncertainties are expected due to the formation of a new government parliament and FOMC, the government will closely monitor market trends with special tension, while taking appropriate measures in accordance with the step-by-step response plan if market volatility excessively expands.]
The Bank of Korea is also closely looking at the impact of changes in the trade environment and exchange rates on our exports, balance of payments, and prices after Trump's election.
This is because higher tariffs could raise export barriers, and higher exchange rates could rattle consumer prices, which have risen around 1% for two consecutive months.
[Anchor]
The stock market is flat, how should I look at it?
[Reporter]
It seems to be paying attention to the impact of former President Trump's pledges on our economy.
The Kospi started 0.24 percent lower at 2,557.23, continuing to fall and then turning higher.
The tech-heavy KOSDAQ opened 0.02 percent higher at 743.47, reversing its intraday decline.
The joys and sorrows are divided by industry.
Shipbuilding, defense, and financial stocks are rising, and secondary batteries and automobiles are falling.
It all has to do with former President Trump's pledge.
Demand for fuel-carrying ships is increasing in fossil fuel-oriented policies, and financial stocks are expected to benefit from higher interest rates.
The weakening of President Biden's inflation-reduction law has increased the likelihood of a reduction in secondary battery and electric vehicle tax credits.
The U.S. stock market has soared following Trump's election, but there are predictions that it will be a burden on our stock market.
So far, I'm YTN Ryu Hwan Hong from the Ministry of Economy.
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