Korea's July Inflation Leaves Analysts Split over BOK Rate Decision
Dow Jones08-04
0543 GMT - South Korea's July inflation data leave analysts divided over whether the central bank will raise interest rates again this month. Headline inflation eased to 2.8% in July from 3.2% in June while core inflation edged up to 2.6% from 2.5%. Citigroup economist Jin-Wook Kim forecasts a back-to-back rate hike, citing core inflation which is at its highest level since December 2023. Kim expects core inflation to remain in the 2.8%-3.0% range for an extended period. Barclays economist Bum Ki Son, however, expects the BOK to stand pat, citing easing inflation expectations and moderating prices for a basket of necessities. He said higher core inflation likely reflects supply-side shocks rather than stronger demand.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments