The global market landscape is facing a dual shock of monetary tightening and geopolitical friction, highlighted by the Bank of Korea entering its first tightening cycle in over three years with a rate hike to 2.75 percent on July 16. This domestic policy shift coincides with a severe tech rout in Asia, exemplified by an 11 percent plunge in SK Hynix shares on July 16, and escalating military tensions in the Strait of Hormuz that threaten global energy supply chains.
Korea. On July 16, the Bank of Korea raised its benchmark interest rate by 25 basis points to 2.75 percent to combat inflation and household debt, marking a decisive shift to monetary tightening. While prior-session data from July 15 showed the KOSPI and KOSDAQ closing significantly higher, today’s market sentiment is heavily pressured by an 11 percent plunge in SK Hynix, tracking overnight losses in US semiconductor stocks.
US. Prior-session data from July 15 showed modest gains for major US indices, with the S&P 500 rising 0.38 percent and the Nasdaq gaining 0.62 percent, alongside a slight decline in the 10-year Treasury yield to 4.55 percent. However, these gains face headwinds from escalating geopolitical risks after the US launched strikes against Iranian coastal defenses and an oil tanker, raising fears of energy disruptions.
The case marks one of the most prominent U.S. prosecutions alleging Chinese intelligence targeting of U.S. institutions, as Trump intensifies its pursuit of foreign economic espionage.
CNBC
In the first half of this year, leisure travel within China exploded. As the summer travel season builds towards the Mid-Autumn Festival and the “golden week” that follows National Day on October 1, domestic travel has emerged as one of China’s most important, if underappreciated, drivers of consumption and growth. During the extended Chinese New Year holiday, travel and consumer spending boomed. Domestic trips jumped to 596 million and spending surpassed 803 billion yuan (US$118.13 billion),...
SCMP
Argentina beat England 2-1 in a thrilling World Cup semi-final in Atlanta to book their place in the final against Spain as they chase back-to-back World Cup titles. After falling behind to Anthony Gordon's opener, the defending champions fought back with goals from Enzo Fernandez and Lautaro Martinez in stoppage time.
France 24
The US struck Iran’s coastal defences and missile sites on Wednesday after reimposing a naval blockade of its ports, while Iran threatened to shut off more regional energy exports, saying it was engaged in an “existential war” with America. The latest escalation comes days after a fragile truce collapsed, raising the spectre of a return to full-scale war, though analysts generally see that as less likely. Hostilities have intensified since Iran said late on Saturday it had closed the Strait of...
SCMP
Bar owner offers ‘deepest apologies’ as police investigate whether exits were either blocked or hard to accessThe Bangkok pub that became the scene of the city’s deadliest blaze in 17 years has said it will cooperate with an investigation into alleged negligence, as the death toll rose to 30.The local district office said on Tuesday that three more people had died after thedevastating fire that broke outin the early hours of Monday. An initial assessment by disaster officials found an electrical short circuit in an air conditioner located in the ceiling had caused the fire.Continue reading...
The Guardian
Asian semiconductor stocks tumbled on Thursday as a selloff in U.S. chipmakers spilled into the region.
CNBC
The Digital Asset eXchange Alliance (DAXA) and the digital asset policy think tank MRI held a seminar on July 15 under the theme of 'US Digital Asset Hegemony Strategy and Korea's Response.' This seminar was organized to seek Korea's response measures as the US accelerates the institutionalization of digital assets, focusing on the stablecoin regulation GENIUS Act and the comprehensive digital asset bill CLARITY Act. In the seminar, a delegation of lawmakers including Rep. Min Byung-deok of the Democratic Party of Korea, Rep. Kang Min-kuk of the People Power Party, and Rep. Park Min-kyu of the Democratic Party of Korea, who visited the US in June and met with the White House, the Senate and House of Representatives, financial authorities, and major digital asset companies, shared the US strategy they identified on-site and discussed Korea's Basic Act on Digital Assets and stablecoin legislative tasks. Rep. Park Min-kyu stated, 'We will propose the final bill as early as September.' Attorney Han Seo-hee: 'The US uses stablecoins as a tool to expand dollar hegemony.' Attorney Han Seo-hee of the law firm Lee & Ko, who was the first speaker, presented on 'US Digital Asset Bill Trends...
동아일보
As the Bank of Korea has entered a rate hike cycle, the market is also discussing the possibility of an additional 0.25 percentage point increase in the base interest rate in August or October. The future pace and scale of rate hikes will depend on international oil prices, consumer price trends, and metropolitan housing prices...
조선일보
Clear economic recovery... rising household debt and metropolitan housing prices also pose a burden. Major countries shift to tightening one after another amid inflation concerns... attention focused on whether there will be additional hikes in the second half. The Monetary Policy Board of the Bank of Korea decided to raise the base interest rate for the first time in 3 years and 6 months because price stability...
연합뉴스
This is the first time the Bank of Korea has raised the base interest rate in 3 years and 6 months since January 2023, marking the beginning of a full-scale monetary tightening phase. The interest rate gap with the US has narrowed to a maximum of 1 percentage point. The background of this increase is the 3% range...
JTBC