Uncertainty of the spread of COVID-19 is a stumbling block
▲Lee Joo-yeol (left), governor of the Bank of Korea, speaks at the National Assembly on the 16th of last month. (Reporter Go Iran [email protected])
JP Morgan Chase predicted that the Bank of Korea will raise interest rates twice this year, starting in August.
According to Yonhap News on the 4th, Park Seok-gil, general manager of JP Morgan, said, “If you look at the minutes of the Monetary Policy Committee in July, the BOK leadership seems to prefer a rate hike in August. said.
Previously, JP Morgan had predicted the first rate hike to be in October, but revised the forecast to this month, the fourth quarter, and the third quarter of next year.
Director Park explained, “In the minutes, it was confirmed that the MPC favors policy normalization sooner on average, suggesting a rate hike in August.”
However, he said, “The uncertainty and impact of the COVID-19 re-proliferation situation can be a risk.”