South Korea's Central Bank Issues Warning

In a recent statement, the Bank of Korea (BOK) has expressed concerns over the increasing volatility in the domestic financial market. This comes as a result of various external uncertainties, including the United States Federal Reserve's monetary policy and ongoing geopolitical risks.

External Uncertainties and Their Impact

BOK Deputy Governor Ryoo Sang-dai highlighted that the Federal Reserve's recent meeting, while aligning with market expectations, has introduced a level of uncertainty regarding future monetary policy changes. This, coupled with the U.S. tariff plans and the geopolitical tensions surrounding the Russia-Ukraine conflict, is expected to contribute to persistent external uncertainties.

"These external risk factors, along with domestic political and economic situations, could lead to greater volatility in the domestic financial and foreign exchange markets. We will remain vigilant and closely monitor the markets," Ryoo added.