BOJ Holds Interest Rates Steady, Upgrades Growth and Inflation Outlook for Japan 
Bank of England Expected to Hold Interest Rates at 3.75% as Inflation Remains Elevated 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
RBA Expected to Raise Interest Rates by 25 Basis Points in February, ANZ Forecast Says 
Jerome Powell Attends Supreme Court Hearing on Trump Effort to Fire Fed Governor, Calling It Historic 
China Extends Gold Buying Streak as Reserves Surge Despite Volatile Prices 
South Africa Eyes ECB Repo Lines as Inflation Eases and Rate Cuts Loom 
Fed Governor Lisa Cook Warns Inflation Risks Remain as Rates Stay Steady 
BoK is expected to remain on hold for the rest of the year. It is believed that the market might have gone ahead of itself in expecting rate cuts for the following reasons:
- Won is much weaker now against the USD and the JPY. Moreover, the pace of the weakening has been a little too much as far as BoK is concerned. In fact, BoK has been intervening on the topside to smoothen the move higher in USDKRW.
- Another rate cut might also increase outflows from Korea, but BoK might not prefer that currently, given the lingering external risks (possible Fed hike, China FX).
- Finally, BoK might want to see the effect of the fiscal stimulus package (announced recently) on the domestic economy before it decides to cut or remain on hold.
