February 6, 2025 - Korea & US Economic News & Issues Summary

Hello, this is [World's economy and investment tech

], analyzing economic trends. Here’s a summary of the latest economic news and issues.

 

1. South Korea Economic News

Increased Volatility in Domestic Financial Markets

• KOSPI Index: Fell 0.8%, closing at 2,450
• KOSDAQ Index: Dropped 1.5%, recording 670
• KRW-USD Exchange Rate: Reached 1,412 KRW (new yearly high)
• Foreign Investors: Continued selling trend

January Consumer Price Index (CPI) Rises 2.2%

• High exchange rates and rising global oil prices are key factors
• Agricultural product prices continue to increase due to climate effects
• Increased focus on Bank of Korea’s monetary policy

South Korean Government Announces Countermeasures Against US Tariffs

• Increased likelihood of additional US tariffs on semiconductors, steel, and automobiles
• In response, the South Korean government plans to create a 34 trillion KRW Advanced Industry Fund
• Companies must prepare appropriate response strategies

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2. US Economic News

Rising Volatility in US Stock Market

• Market volatility increases due to uncertainty over Federal Reserve (Fed) monetary policy
• Investors focus on upcoming earnings reports from major Big Tech companies

Key US Economic Data Scheduled for Release

• Employment and Manufacturing Index data to be announced
• Market participants will analyze these indicators to predict the Fed’s future interest rate policy

Strengthened US Tariff Policy

• President Trump’s protectionist policies intensify trade tensions with South Korea, China, and others
• Possible shifts in the global supply chain due to new trade restrictions

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Conclusion & Outlook

The current economic landscape remains complex due to rising exchange rates, inflationary pressure, and escalating protectionism.

Key points to watch moving forward:

1. The Bank of Korea’s next financial policy measures
2. The Fed’s interest rate decisions and upcoming economic data
3. Trends in global oil prices and the KRW-USD exchange rate
4. Changes in trade policies between South Korea and the US

As economic markets continue to fluctuate due to multiple factors, ongoing monitoring is crucial. Investors should adopt a cautious approach.

What are your thoughts on these issues? Feel free to share your opinions in the comments! 😊