9 out of 10 bond experts expect BOK to keep base rate frozen this week: survey

More than nine out of 10 bond experts here believe the Bank of Korea (BOK) will hold its policy rate steady for a fourth consecutive time in its rate-setting meeting later this week, a survey showed Tuesday. According to a poll conducted by the Korea Financial Investment Association (KOFIA) on 100 fund managers and traders at 47 financial institutions, 96 of those polled said they expected the central bank to keep the country's benchmark interest rate steady at 2.5 percent. The BOK's monetary policy board is scheduled to hold its rate-setting meeting Thursday. KOFIA said a rise in the country's economic growth forecast and a prolonged weakening of the Korean won strengthened the experts' outlook for a rate freeze. Meanwhile, the bond market index (BMSI) for December stood at 103.2, down 8.3 points from November's 111.5. A reading above 100 means that market participants expect bond prices to rise. Bond prices move inversely to yields. Among those surveyed, 21 percent expected bond yields to rise next month, while 28 percent projected bond yields to drop. Regarding the foreign exchange rate,Weiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times