South Korea to launch 24-hour dollar-won trading from July 6

South Korea will launch 24-hour dollar-won spot trading from July 6, the Ministry of Economy and Finance announced, marking the most significant liberalisation of the country's foreign exchange infrastructure in decades. A trial period will begin on June 29, giving market participants a week to test systems and build liquidity before the official rollout.

The move is part of a broader foreign exchange liberalisation push aimed at securing an upgrade to MSCI developed market status. Currently, the dollar-won market operates only during Korean business hours, limiting access for international investors. Extending trading to 24 hours aligns South Korea's FX infrastructure with global standards, potentially increasing foreign participation and reducing the cost of hedging for overseas investors. For currency traders, this development could lead to tighter spreads and greater liquidity in the dollar-won pair, especially during Asian and European sessions. Live FX prices and charts on NowPrice show how the market is reacting to this structural change.

Market participants will watch for the trial period's impact on liquidity and volatility. If successful, the 24-hour trading regime could pave the way for further liberalisation, including the eventual inclusion of the won in global benchmarks. The MSCI decision on South Korea's upgrade is expected in the coming months, and this reform is seen as a key prerequisite.