According to Jin Ten Data, Min Joo Kang, a senior economist at ING, stated that the US-Korea tariff negotiations may affect the timing of the South Korean central bank's interest rate cuts. Kang expects the South Korean central bank to cut interest rates in October, provided that the slowdown in housing prices and household debt expectations is confirmed in August.
But she pointed out that if the US-Korea trade negotiations are unfavorable to the market, the US continues to impose a 25% reciprocal tariff and additional industry tariffs on South Korean semiconductors and other export products, the South Korean central bank may lower interest rates early in August.