According to Jinshi Data, Barclays economist Bum Ki Son said that South Korea's consumer inflation may pick up in December, following a lower-than-expected increase in November. Two consecutive months of rising inflation may lead the Bank of Korea to pause its interest rate cuts in January.
The benchmark consumer price index rose 1.5% year-on-year in November, up from 1.3% in October but below market expectations of 1.7%. This is still below the Bank of Korea's 2% annual inflation target. Bum Ki Son expects the Bank of Korea to cut interest rates again in February, May and October.
