Bank of Korea holds rates as expected after back-to-back hikes

More in Finance

• Asian markets dip as investors weigh tech earnings, Gulf tensions

  Asian markets experienced mixed performance as investors focused on tech earnings and geopolitical tensions. The broad MSCI Asia-Pacific index fell 0.2%, extending a fourth consecutive week of decline. Japan's Nikkei index lost 0.4%, while Korea's Kospi shed more than 1%. Tech-heavy US stocks, led by the Nasdaq, gained slightly following better-than-expected earnings reports. However, Meta's plan to issue non-voting Class C common stock sparked renewed scrutiny. The yield on 10-year US Treasury notes fell 4.2 basi…

  2 min read
• Bank of Korea holds rates after back-to-back hikes

  The Bank of Korea left its benchmark interest rate unchanged at 3.00% after back-to-back hikes in July and August, following strong chip-driven growth and above-target inflation. The central bank's decision to pause its tightening cycle is based on the expectation that further interest rate hikes will be necessary until inflation converges to its target. Analysts had forecast no change to rates, but the recent rise in market volatility, particularly in the stock market, has made it difficult for a hawkish call to…

  1 min read
• Bank of Korea holds rates after back-to-back hikes

  The Bank of Korea (BOK) maintained its benchmark interest rate at 3 percent on Thursday, following back-to-back quarter-point hikes in July and August. The central bank's seven-member monetary policy board voted to keep the seven-day repurchase rate unchanged, despite strong chip-driven growth and above-target inflation. Although the recent increase in market volatility, particularly around the stock market, makes it challenging for a hawkish call to emerge, the BOK will likely raise its base rate to 3.25 percent…

  1 min read