South Korea's April CPI Hits Highest Level in Nearly Two Years, Raising Rate Hike Odds

According to 10jqka, South Korea’s April consumer price index reached its highest level in nearly two years, driven by rising oil prices stemming from Middle East tensions. This increases the likelihood of the Bank of Korea raising rates in the second half of 2026 to combat inflationary pressures. Economists suggest the central bank may signal a policy shift this month and raise rates at its July meeting. The Bank of Korea has kept rates unchanged since May 2025, with the next meeting scheduled for May 28.