South Korea's CPI rose 3.2% year-on-year in December, and inflationary pressure cooled as expected by the central bank

According to Jinshi, South Korea's CPI rose 3.2% year-on-year in December, down from 3.3% in November, indicating that inflationary pressures are cooling in line with the central bank's expectations. The Bank of Korea expects inflation to slow toward its 2% target by around the end of next year, and said it hopes to see inflation stabilize in that range before considering easing policy. However, South Korea will face a series of upside risks to inflation in the first few months of 2024.