Seoul: The South Korean government will maintain its 24-hour market monitoring system due to the planned "reciprocal" tariffs by U.S. President Donald Trump's administration and potential policy changes by major economies, according to Acting President Choi Sang-mok.
According to Yonhap News Agency, Acting President Choi made these remarks during a meeting focused on economic and financial market conditions. This meeting occurred shortly after the U.S. Federal Reserve decided to keep its benchmark interest rate steady at 4.25 to 4.50 percent. Bank of Korea Governor Rhee Chang-yong, Financial Supervisory Service Governor Lee Bok-hyun, and other officials attended the meeting.
The meeting participants observed that the latest U.S. rate decision had minimal impact on financial markets overnight. However, the South Korean government emphasized the need to remain alert to various risk factors. These include the U.S. planned reciprocal tariffs set for April 2, recession concerns in major economies, geopolitical tensions in regions like the Middle East and Ukraine, and shifts in monetary policies by major countries, as noted by the finance ministry.
Choi urged related ministries to continue their "24-hour monitoring of markets" and to assess major policy changes in the United States and other significant countries, considering their potential effects on the South Korean economy. He also emphasized the importance of maintaining South Korea's credit standing, referencing Fitch Ratings' recent affirmation of the country's "AA-" sovereign rating with a stable outlook.
Regarding the planned resumption of stock short selling set for March 31, Choi stressed the importance of facilitating a smooth return to this trading practice. He also called for support for South Korea's first alternative stock trading platform, which commenced operations earlier this month, according to the finance ministry.