Bank of Korea raises rates sparking falls in Kospi and other risk assets
Tony Sycamore August 26, 2021 5:00 AM
Today, the Bank of Korea (Bok) became the first central bank in Asia to raise rates after the Reserve Bank of New Zealand (RBNZ) was forced to defer its interest rate hike last week.
The Bok has been grappling with taming an asset bubble while supporting the economy during the latest virus outbreak. The vaccination rate in South Korea is very similar to New Zealand's and not too dissimilar to Australia's. About 26% of South Korea's population has been fully vaccinated, and 52.7% of its population has received their first vaccine shot.
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