Bank of Korea leaves its base rate unchanged for a 13th straight meeting
- at 3.5%
- 38 of 40 analysts surveyed tipped unchanged
Forecasts:
- 2024 growth at 2.4% (vs 2.5% seen in May)
- 2024 inflation at
2.5% - 2025 growth at 2.1%
(vs 2.1% seen in May) - Sees 2025 inflation
at 2.1%
Analyst expectations centre on the October 11 Bank of Korea meeting for a rate cut. Its first rate cut in four years.
The BOK faces offsetting influences:
- rising apartment prices in Seoul, with government plans inn place to increase housing supply to cool prices
- inflation has generally cooled otherwise
- household debt has risen
Governor Rhee Chang-yong’s press conference is due at at 0210 GMT
- 2210 US Eastern time
This article was written by Eamonn Sheridan at www.forexlive.com. Source