South Korea: BoK to remain on hold later in the week – UOB
|The Bank of Korea (BoK) is expected to keep rates at 0.50% at this week’s event, according to UOB Group’s Economist Lee Sue Ann.
Key Quotes
“The BoK has cut its benchmark rate by 75bps year-to-date. We expect a halt in interest rate cut at the current base rate of 0.50%, which is a record low.”
“There will be increasing emphasis on non-interest rate tolls as well as greater utilization of fiscal policy as the policy rate is now very close to the ‘effective lower bound’.”
“The BoK will actively purchase government bonds if needed but this is likely to be in the secondary market”.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.