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Market Chatter: Bank of Korea Policymaker Backs Timely Rate Hike

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South Korea's central bank should raise interest rates "on time" as inflation is expected to remain above target for a considerable period, Reuters reported Friday, citing Bank of Korea Governor Shin Hyun-song.

Shin said monetary policy should focus on price stability, adding that recent data and higher oil prices triggered by the Middle East conflict support the case for tighter policy, according to the report.

South Korea's consumer inflation accelerated to 3.1% in May, its highest level in more than two years.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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