Seoul: The South Korean won fell to a two-week low against the U.S. dollar Wednesday, as expectations were reinforced for a rate hike by the Federal Reserve. The won was quoted at 1,368.6 won per dollar at 3:30 p.m., down 9.2 won from the close of the previous stock trading session.

According to Yonhap News Agency, the won languished to a low of 1,372.9 won per dollar in morning trading, marking the lowest level since September 2. Traders were increasingly betting on the Federal Reserve to increase rates this week for the first time in three years, with oil prices hovering above US$100 per barrel as fighting escalated between the United States and Iran in the Middle East.

Foreigners sold a net 1.6 trillion won (US$1.17 billion) worth of local stocks during the latest regular trading session, while the benchmark Korea Composite Stock Price Index gained 1.37 percent to close at 6,717.97.