South Korea Inflation Hits Two-Year High
What this means
Higher prices in South Korea may push its central bank to raise borrowing costs starting in July. This can slow spending and business activity, often leading to weaker stock performance.
Market mechanics
- KOSPIdownExpected rate hikes from the Bank of Korea could reduce economic growth and make stocks less attractive.
What to watch next
- Bank of Korea policy meeting in July
- Next South Korea CPI release
- Global oil price moves tied to Iran
AI-synthesized from public market reporting · Updated Jun 2, 2026, 8:00 AM
Share this story
Spread the signal — link, social or copy.
Related coverage
US April PCE Inflation Accelerates to 3.8% YoY
The personal consumption expenditures price index rose 3.8% year-over-year in April, the largest increase since May 2023, driven by higher energy prices amid the Iran conflict; core PCE hit 3.3% annually.
Fed Officials Signal Readiness to Hike Rates on Inflation Risks
Chicago Fed President Goolsbee and others including Governors Cook and Jefferson, plus Minneapolis Fed's Kashkari, highlighted persistent inflation pressures from the Iran war oil shock and AI investment hype, stating they are prepared to raise rates if disinflation stalls while keeping policy well-positioned at 3.50%-3.75%.
US April PCE Inflation Surges to 3.8% YoY, Fastest in Three Years
The Personal Consumption Expenditures Price Index jumped 3.8% year-over-year in April, the largest rise since May 2023, driven by higher energy prices from the Iran war. Core PCE advanced 3.3% YoY, well above the Fed's 2% target.
ECB Says Consumer Price Expectations Ease But Stay Elevated
Euro-area consumers’ expectations for inflation in three years fell slightly to 2.9% in April from 3% in March, per ECB survey released June 1, though policymakers remain likely to raise interest rates next week.
US April Core PCE Inflation Hits 3.3% Annual Rate
The Fed's preferred core PCE gauge rose 3.3% year-over-year in April, matching expectations, while headline PCE jumped 3.8% YoY, the largest annual increase in three years, driven by energy prices amid the Iran conflict. GDP growth was revised lower to 1.6% annualized for Q1.
Kevin Warsh Urges Fed to Focus on Alternative Inflation Measures
New Fed Chairman Kevin Warsh is pushing the central bank to consider gauges like trimmed-mean inflation, which stood at 2.3% in the latest reading versus 3.3% for core CPI, when setting interest rates.