South Korea CPI eases further in Nov, keeping BOK cut bets in play
2024.12.02 18:37
Investing.com– South Korean consumer price index inflation fell more than expected in November, lending the Bank of Korea more headroom to cut interest rates even further after two back-to-back cuts.
grew 1.5% year-on-year in November, government data showed on Tuesday. The reading was softer than expectations of 1.7%, but picked up marginally from the 1.3% in the prior month. October’s CPI reading was the weakest since early-2021.
fell 0.3% month-on-month, more than expectations for a 0.1% drop.
The reading came just a week after the BOK unexpectedly cut interest rates further, and flagged slowing economic growth in the coming year.
The annual CPI figure remained well below the BOK’s 2% target, raising the possibility of more easing by the central bank as it moves to shore up economic growth.
A Reuters poll showed analysts widely expect the BOK to cut rates further in February.
