According to Yonhap, the Bank of Korea said the U.S. Federal Reserve's split decision to keep rates unchanged has increased uncertainty over the outlook for U.S. monetary policy, while tensions in the Middle East remain a risk to financial markets. The Fed held its benchmark rate at 3.5-3.75 percent for a fifth straight meeting, with three governors dissenting in favor of a hike.

BOK Deputy Governor Park Jong-woo said Fed Chairman Warsh reaffirmed the central bank's 2 percent inflation target but did not give clear guidance on the future path of policy. Park added that markets saw greater uncertainty around the Fed's policy direction and inflation outlook, pushing long-term U.S. yields sharply higher. The BOK said it will keep monitoring domestic and external risks and assess their impact on South Korea's financial markets and economy, citing investor concerns over excessive AI investment and renewed military tensions in the Middle East.