Won’s 24-Hour Trading Debut Passes With Below-Average Volume

Trading in the Korean won passed with below-average volume in its first day of round-the-clock dealing during a largely uneventful session, compared to the past 30 days.

Volume in the dollar-won spot trading totaled about $15.1 billion on Monday, according to data from the Seoul Money Brokerage Services Ltd. and Korea Money Brokerage Corp. , 6% lower compared to the average in the past 30 days. Trading hours were extended from 17 hours, eliminating a gap the nation used to have with New York’s trading session.

Activity was focused during regular hours in Seoul, and volume thinned out as usual during London and New York hours. The currency, which is more than 2% away from the weakest level since 2009, traded in a narrow range during the session.

For decades, South Korea has sought to leave behind its emerging-market status and be considered an advanced economy to lure more global investors. The latest move is an unprecedented loosening of the nation’s grip on its currency, as it moves away from longstanding policy shaped by the trauma of the 1997 Asian financial crisis that nearly brought the economy to its knees.

Behind the scenes, the government was watching every tick. At least two officials stayed inside the monitoring room in Sejong, about two hours from Seoul — known internally as “the box” — through the New York session, according to a government official who asked not to be identified discussing internal operations. Many more remained awake outside, tracking the market until dawn, he said.

The priority is ensuring the market settles in smoothly, rather than driving immediate activity, and officials are closely monitoring for any trading mishaps or system glitches, according to the official.