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South Korea:  Bond Wrap

SOUTH KOREA
  • The Central Bank will find it difficult to adjust monetary policy down due to the strength in Seoul property prices, according to a former member of the Bank of Korea
  • Last month the Bank of Korea held its interest rate at 3.5% with BOK Governor Rhee Chang-yong citing housing prices as a key concern.
  • The bond market had a mixed day with short and long end yields lower and intermediate yields unchanged.

1yr 3.209% (-4bp) 5yr 2.942% (+1bp) 10yr 2.998% 20yr 3.007% (-7bp)

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