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The US Federal Reserve signaled a higher interest-rate path as it kept its benchmark rate unchanged Wednesday, increasing pressure on the Bank of Korea to move toward monetary tightening. In his debut Federal Open Market Committee meeting, Fed Chair Kevin Warsh kept the target federal funds rate unchanged at 3.5-3.75 percent, but struck a notably hawkish tone, citing continued price pressures. While the Bank of Korea had already been widely expected to raise its benchmark rate soon, the Fed's ha
The US and Iran agreeing to end their war and reopen the Strait of Hormuz has raised hopes of easing a major external risk for export-dependent South Korea, potentially allowing vessels stranded in the waterway for months to resume voyage and helping normalize global energy supply chains. But industry officials remain cautious, as uncertainties remain ahead of the formal signing of the agreement, warning it may take a while before maritime traffic returns to a prewar level. US President Donald T
The artificial intelligence-led semiconductor boom has yet to show a strong spillover into South Korea's broader economy, even as currency and financial stability concerns make a Bank of Korea rate hike in July increasingly likely, Nomura's senior economist said Friday. Park Jeong-woo, South Korea and Taiwan senior economist at Nomura, said at the brokerage's Korea Equities & Economy Media Briefing in Seoul that the key question for the economy is not whether chips and stocks are strong, but whe
South Korea's stock market should no longer trade at valuations closer to emerging markets, as record profitability, stronger shareholder returns and AI-led semiconductor earnings strengthen the case for a broader rerating, Nomura analysts said Friday. Cindy Park, head of Korea equity research at Nomura, said at the brokerage's Korea Equities & Economy Media Briefing in Seoul that the Kospi remains deeply discounted despite its sharp rally and improving earnings outlook. "Korea is now trading at
Foreign tourist demand is spreading beyond Seoul, with accommodation bookings in Busan surging 218 percent from a year prior in early June, aided by BTS concerts that drew visitors from overseas, industry data showed Friday. Data compiled by All My Tour, a South Korean bedbank solutions provider, showed that accommodations booked outside of Seoul accounted for 34 percent of total bookings in the second week of June, more than double last year's 16.8 percent. In particular, Busan showed the large
The effects of prolonged conflict in the Middle East are rippling through South Korea's labor market, with employment falling for the first time in 17 months as manufacturers and young workers bear the brunt. According to government data on May employment trends released Thursday, the number of employed people aged 15 or older stood at 29.12 million, down 40,000 from a year earlier. The decline marked the first drop since December 2024, when employment fell by 52,000 as domestic sentiment cooled
South Korea's tax agency said Thursday it will push to become a centralized collector of government revenue, expanding beyond national taxes to manage overdue non-tax payments such as fines, penalties and compensation payments. The National Tax Service said it aims to build an integrated collection system by the end of the year, consolidating delinquent revenue collection now handled separately by about 4,500 government offices nationwide. Non-tax revenue covers 95 categories, including penalty
US investment firm KKR highlighted South Korea as one of Asia's most compelling valuation opportunities, arguing that ongoing corporate governance reforms could unlock significant upside, the firm said Thursday. In its midyear 2026 outlook report, "The Divergence Conundrum," Henry McVey, head of Global Macro & Asset Allocation and chief investment officer of KKR Balance Sheet, described Korea's corporate reform story as "one of the more underappreciated opportunities in Asia," alongside Japan. T
Korea Zinc, the world's biggest refined zinc smelter, said it achieved full compliance with all 15 core corporate governance indicators in 2025, improving from the previous year and significantly outpacing rival Young Poong amid an ongoing battle for management control. According to the company's 2025 Corporate Governance Report released earlier this week, Korea Zinc posted 100 percent compliance with the Korea Exchange’s core governance indicators, up from 80 percent in the 2024 report. The com
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