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The dollar-won exchange rate surged at the start of the month amid 'Warsh shock' and a lack of exporter dollar sales, but analysts say fears of a policy regime change are overblown as market volatility is expected to subside once uncertainty over the next Fed chair eases.

The dollar-won exchange rate is expected to remain elevated near 1,450 as Kevin Warsh's Fed Chair nomination boosts the dollar, though exporter supply may cap further gains.