Bank of Korea's Rate Cut Was 'Right Decision,' Deutsche Bank Says

The transcript discusses revisions in GDP and inflation forecasts, highlighting a decrease in GDP growth from 2.1% to 1.9% and inflation from 2.1% to 1.9%. It analyzes the central bank's decision to cut rates, emphasizing the need to prioritize growth over financial stability. The potential impact of U.S. trade policies on economic growth is considered, with concerns about a more severe tariff scenario leading to weaker growth. The future economic path is explored, with expectations for the central bank's terminal rate and the need for preemptive actions to support the economy.

What was the revised GDP growth forecast for next year?

• 1.5%

• 2.5%

• 1.9%

• 2.1%

How does the revised inflation forecast compare to the previous one?

• It increased from 1.9% to 2.1%

• It decreased from 2.1% to 1.9%

• It remained the same at 2.1%

• It increased from 1.8% to 1.9%

What is the expected terminal rate for the Bank of Korea?

• 2.0%

• 2.75%

• 2.5%

• 2.25%

What is one of the key reasons for the rate cut mentioned in the third section?

• Stable domestic demand

• Increased foreign investment

• Rising global inflation

• Concerns about credit risks and defaults

What approach is the central bank taking in response to economic challenges?

• Focusing solely on inflation control

• Waiting for international consensus

• Reactive to the Fed's actions

• Preemptive to support growth