The government and the Bank of Korea acknowledged that the volatility in the domestic financial and foreign exchange markets may continue for some time, deciding to maintain a high level of vigilance and closely monitor market conditions.
According to the Ministry of Economy and Finance on the 8th, Vice Minister Choi Sang-mok held a macroeconomic and financial issues meeting (F4) that morning with Bank of Korea Governor Lee Chang-yong, Financial Services Commission Chairman Kim Byung-hwan, and Financial Supervisory Service Commissioner Lee Bok-hyun at the Korea Federation of Banks in Seoul. This meeting was convened to review domestic and international financial and foreign exchange market trends following the weekend and to discuss future response directions.
Participants assessed that following the announcement of mutual tariff measures by the U.S. on the 3rd, global stock markets fell sharply, and the values of major countries' currencies fluctuated significantly against the U.S. dollar, increasing overall market volatility. They concluded that external factors are currently leading the volatility in the financial markets rather than domestic factors. The domestic stock market also showed a downward trend in line with global trends, while the bond and money markets remained relatively stable but deemed it necessary to continue monitoring closely.
Vice Minister Choi emphasized, "Please ensure that each institution continuously checks and prepares response plans according to the situation so that market stability measures can be implemented swiftly if necessary," and "Thoroughly analyze the impact of changes in the trade environment on growth, prices, and monetary policy in major countries, as well as the policy responses of each country and the ripple effects on the domestic economy."