Seoul
South Korean Won emerged as the worst-performing currency among major global peers last week, as political instability following President Yoon Suk Yeol's brief declaration of martial law rattled investor confidence, data showed on Sunday. The won fell by 24.5 won per dollar over the week, marking its sharpest decline since January, according to Yonhap Infomax data. It ended Friday down 1.86% against the U.S. dollar, far underperforming other major currencies. The Australian dollar lost 1.32%, while the Chinese yuan slipped by 0.36%. In contrast, the Japanese yen and the British pound managed modest gains of 0.1% and 0.26%, respectively. On Wednesday, the won hit 1,442 per dollar during offshore intraday trading—the lowest level since October 2022—shortly after Yoon's unexpected martial law announcement. While the currency recovered slightly, it closed Friday at 1,419.20 won, down 4.1 won from the prior session. The political developments have deeply shaken market sentiment, which was already fragile due to uncertainties in the semiconductor industry and lingering concerns over Donald Trump’s tariff policies, said Moon Jeong-hee, an economist at KB Kookmin Bank. Adding to the political drama, the opposition Democratic Party (DP) has called for President Yoon’s immediate arrest and investigation over his failed martial law declaration. While Yoon survived an impeachment attempt on Saturday due to a lack of quorum, the DP has vowed to pursue a special counsel probe into treason charges against the president and key officials.