Korean Bond Gains Push 10-Year Yield Down Most in Nine Months
- Yield at record low as stocks drop and investors seek havens
- Short-end yields down on rate-cut speculation: KB Investment
This article is for subscribers only.
South Korean bonds rose, pushing the 10-year yield down the most in nine months, as investors sought shelter from an increasingly gloomy economic outlook and on speculation the central bank will cut interest rates.
Federal Reserve Chair Janet Yellen said in testimony to Congress that this year’s global market turbulence may delay further monetary tightening in the U.S., boosting demand for emerging-market assets. A 2.9 percent decline in the Kospi index, its biggest drop since 2012 as markets reopen after a three-day break, also increased the allure of government debt before the Bank of Korea reviews policy on Tuesday.