Bank of Korea (BOK) Gov. Shin Hyun-song speaks during the BOK International Conference at the bank's heaquarters in Seoul, June 1. Yonhap
A tentative ceasefire agreement between the United States and Iran has fueled hopes of lower oil prices, but expectations for a Bank of Korea (BOK) rate hike remain largely unchanged as inflation risks persist, analysts said Tuesday.
The BOK has maintained a hawkish tone in recent months, citing inflationary pressures fueled by the Iran conflict.
The U.S.-Iran ceasefire agreement, announced Monday and expected to include plans to reopen the Strait of Hormuz, has eased immediate concerns over energy supply disruptions in the Middle East.
Analysts cautioned, however, that the implications for Korea's inflation outlook remain uncertain and will require closer monitoring in the coming months.
