# Korea: Central bank starts easing cycle with 25bp rate cut

> The Bank of Korea cut its policy rate by 25 basis points to 1.50%, a surprise to most of the market, with 15 of 25 Bloomberg survey participants expecting no change. The central bank cited a deepening slowdown in exports and construction investment and low inflation, and downgraded its growth and inflation forecasts.

- Date: 2019-07-18 · published 2019-07-18T12:00:00.000Z
- Category: macro · region South Korea · magnitude medium
- Page: https://feedsoft.ai/events/58305-korea-central-bank-starts-easing-cycle-with-25bp-rate-cut
- Commodities: [Korean Won (KRW per USD)](https://feedsoft.ai/c/USDKRW.md)

## Why it matters

A weaker won-supporting rate path and a slowing Korean economy reduce import demand for feed and agricultural goods, while lower rates can soften the won and weigh on dollar-linked commodity purchasing power.

## Read by commodity

- USDKRW: bullish ▲

## Sources

- think.ing.com: https://think.ing.com/articles/korea-bok-starts-easing-cycle-with-25bp-rate-cut

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.