The government has issued a warning over the strengthening of the Korean won.

First Vice Finance Minister Kim Yong-beom said Tuesday that the won-dollar exchange rate is showing signs of being swayed by market sentiment alone, regardless of other currencies’ movements or supply and demand of foreign currency at home.  

Kim made the remarks during a macroeconomic and financial meeting attended by officials from the Financial Services Commission, Bank of Korea, Financial Supervisory Service and the Korea Center for International Finance. 

His remarks are regarded to be a verbal warning toward any herd behavior in the foreign exchange market. 

Kim’s comments came after the local currency strengthened five-point-two won against the dollar on Monday, ending the session at one-thousand-127-point-seven won.

Compared to mid-September, the Korean won strengthened around 60 won against the dollar.  

Kim said the government will closely monitor market trends and strengthen measures to stabilize the market if deemed necessary.