Seoul: The South Korean won strengthened against the U.S. dollar Wednesday after U.S. President Donald Trump hinted at the resumption of peace talks with Iran this week. The won opened at 1,471 per dollar, up 10.2 won from the previous session's close.

According to Yonhap News Agency, the currency rose to its highest level in about one month Tuesday amid optimism over a potential breakthrough to end the conflict, which began in late February following U.S.-Israeli strikes on Iran and has escalated into a broader regional war. Trump said Tuesday (U.S. time) that talks with Iran could resume "over the next two days" in Pakistan, as reported by foreign media.

The initial round of peace talks over the weekend in Islamabad did not yield an agreement, leading Washington to impose a blockade on Iranian ports. A two-week ceasefire between the U.S. and Iran is set to expire next week, adding to the urgency of the situation.

The Korean won has experienced increased volatility in recent sessions. The ongoing crisis has pushed up global oil prices, which has raised concerns over inflation and a potential economic slowdown. Higher oil prices have pressured the won by increasing demand for dollars for crude imports, as South Korea relies heavily on imported energy.

The dollar index, which measures the value of the U.S. dollar against a basket of six major currencies, fell 0.02 percent to 98.1. Meanwhile, the benchmark Korea Composite Stock Price Index (KOSPI) opened at 6,141.6 on Wednesday, up 2.91 percent from the previous session, tracking gains on Wall Street.