The South Korean fell against the dollar on Friday on renewed worries about the fallout from the US credit crisis, but recovered some of its early losses by the end of local trade on demand from exporters. The won also cut losses as trading was subdued across Asia while investors awaited US jobs data due late in the day, which could provide an early clue on the Federal Reserve's next policy meeting in December.
The won was last quoted at 906.8/7.4 per dollar after having fallen to as low as 908.8, compared with the previous close bid of 903.1. "The won continued to be stuck between buying by exporters, especially from the electronics industry, and sales by traders such as offshore traders," said a foreign bank dealer.
The South Korean currency gained a mere 0.2 percent against the dollar for the week, after wiping out most of its 1.1 percent gain to a decade high early in the week. Market reaction to the US jobs data will likely set the tone for the Seoul currency market early next week.