Won breaks 1,420 to the dollar as Kospi retreats to 2,250

An employee at KB Kookmin Bank in western Seoul [YONHAP]

 
The won broke 1,420 to the dollar when the market opened in Seoul on Monday, renewing a 13-year-plus low.
 
It traded at 1,421 within minutes, losing 0.83 percent of its value from the close on Friday. It went as low as 1,422.50 won intra trading.
 
The currency's fall accelerated last week following a 75-basis-point increase of the fed-funds rate by the U.S. Federal Reserve, the third consecutive increase of that magnitude, and as authorities in Korea failed to come up with a convincing response to the extended rout.
 
Stocks also opened lower Monday, with the Kospi down about 1.7 percent to the 2,250 level by 9:30 a.m.

BY JIN MIN-JI [jin.minji@joongang.co.kr]