On April 29, 2026, the KRW/JPY exchange rate closed at approximately 0.10808, reflecting a daily decline of 0.071%. This downward movement indicates a strengthening of the Japanese Yen relative to the South Korean Won. The attribution analysis highlights that 56% of this movement was driven by factors influencing the KRW, while 44% was attributable to JPY-specific developments.

The primary drivers behind this shift include ongoing regional economic uncertainties, particularly the impact of the Middle East conflict on energy prices, which affects both nations differently given their import dependencies. While Japan’s monetary policy remains accommodative, it is navigating a delicate balance between moderate growth and the risks of imported inflation. Conversely, South Korea’s economy is heavily influenced by global semiconductor demand and domestic fiscal policy. Recent reports suggest that while chip exports are robust, broader economic activity faces headwinds from supply chain disruptions.

Regarding trends, the past week has shown relative stability with a slight positive change of 0.34%, though the efficiency score of 0.58 suggests some choppiness. Over the 6-month period, the rate has remained largely stable with minimal net change, despite a low efficiency score of 0.00, reflecting a period of directionless, oscillating trade. On a 1-year horizon, the pair has experienced a significant appreciation of 8.75%, moving within a range of 0.0994 to 0.1098. The low efficiency scores over the longer term confirm that the market has been highly choppy rather than following a clean, linear trend, driven by the complex interplay of central bank policies and fluctuating global commodity costs.