The South Korean won climbed against the U.S. dollar on Monday, extending its gain to a third consecutive day as the greenback's bulls eased to some degree following a payroll report from the world's largest economy.

The Korean won closed at 1,081.40 per dollar, up 8.6 won from the previous session's close, after hitting an intra-day high of 1,080.50, the highest in two months.

Analysts said December job data in the U.S. was good, but disappointment over wages helped weaken the prospect of an early interest rate hike by the Federal Reserve.

"Dollar selling continues, but speculation over intervention may limit a further fall down the road," said Jun Seung-ji, an analyst at Samsung Futures Co.

Meanwhile, the won-yen exchange rate stood at 915.26 as of 3:01 p.m., up 4.08 won from the previous session's close. (Yonhap)