Investors in Korean Bonds See BOK Pivot Coming Into Focus

Investors in South Korean government bonds expect officials in Seoul to reduce interest rates in coming months, as the start of the US easing cycle paves the way for central banks across Asia to loosen policy too.

The Bank of Korea will cut its benchmark interest rate by 25 basis points from 3.5% by the end of this year, according to a Bloomberg survey of economists. The BOK’s next meeting is scheduled for Oct. 11.