# Bank of Korea in dilemma over interest rate hike - The Korea Times

> The Bank of Korea is weighing whether to raise its key rate above 1.5% following the Federal Reserve's March hike, but is reluctant due to a weakening job market, falling consumption and record household debt. Most analysts expect the rate to stay unchanged in May.

- Date: 2018-05-20 · published 2018-05-20T12:00:00.000Z
- Category: macro · region South Korea · magnitude low
- Page: https://feedsoft.ai/events/65240-bank-of-korea-in-dilemma-over-interest-rate-hike-the-korea-times
- Commodities: [Korean Won (KRW per USD)](https://feedsoft.ai/c/USDKRW.md)

## Why it matters

Higher Korean rates would tighten domestic credit and could attract capital, affecting the won and local feed-buying costs. The commodity price impact is modest in the near term.

## Read by commodity

- USDKRW: neutral

## Sources

- koreatimes.co.kr: https://www.koreatimes.co.kr/economy/20180520/bank-of-korea-in-dilemma-over-interest-rate-hike

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