Bank of Korea to assess inflation, growth for rate hikes, board member says

Bank of Korea to assess inflation, growth for rate hikes, board member says

South Korea’s Central Bank Weighs Next Moves as AI Boom Fuels Growth and Price Pressures

The Bank of Korea has hiked rates twice to 3% amid AI-driven semiconductor growth and persistent inflation above target. A board member says future moves will hinge on incoming data for prices, expansion and financial risks. Markets and analysts diverge on the terminal rate, with some seeing 3.75%.

Global Market: Bank of Korea signals data-driven approach to further rate hikes

Bank of Korea board member Chang Yong-sung signaled a data-driven approach to future interest rate hikes, emphasizing inflation, economic growth, and financial stability. The remarks follow the central bank's recent 25 basis point rate hike to 3.00% on August 27 as policymakers act to contain financial imbalances.