The Bank of Korea stays put for the first time since April 2022. Economists at ING think the BoK may begin its rate cut cycle in the fourth quarter of the year.
BoK puts brakes on rate hike but keeps hawkish tilt
“The BoK’s ‘hold’ decision was widely expected. But one dissenting vote, Governor Rhee Chang-yong's hawkish comments, and growing uncertainty over inflation have hinted that the BoK will leave the door open for further rate hikes for now.”
“We believe that the BoK may enter an easing cycle in the fourth quarter as inflation is expected to fall to the 2% range.”
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