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The South Korean won gained against the dollar on Thursday as rekindled hopes for a global economic recovery after firm Australia job data and eased woes on China's bank reserves requirements boosted appetite for riskier assets.
"The government may not allow the won to strengthen past the 1,120 level easily. But given the global economic recovery, it's inevitable the won will rise further, and it's seen breaking through 1,100 in the first quarter," said June Park, an economist at Woori Investment & Securities.
The South Korean unit closed local trade up 0.4 percent at 1,121.4 per dollar from Wednesday's domestic close of 1,125.5. The South Korean government said it would continue to restrain state-run companies from issuing bonds abroad, a move seen as a bid to reduce foreign currency supplies.

Copyright Reuters, 2010

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