Korea
South Korea got a brief macro reprieve as lower oil prices lifted local assets and eased immediate inflation and currency pressure. Seoul shares rose for a second straight session, closing 1.63% higher on a tech-led advance, while the won rebounded against the dollar after sliding to its weakest level in 17 years.
Even so, policymakers did not signal complacency. A Bank of Korea board member said won volatility was not at a critical stage, indicating the central bank sees current market stress as manageable but still requiring close attention.
Fiscal policy is also moving higher on the agenda. Budget minister nominee Park Hong-keun emphasized the role of fiscal policy as oil-price pressures remain a concern, while domestic politics became more active after Seoul Mayor Oh Se-hoon said he would register with the ruling People Power Party for local elections.
At the same time, trade data offered a reminder of Korea's structural strengths. A report said the country ranked No. 1 in global exports for 81 products, including memory chips and solid-state drives, reinforcing the central role of high-tech manufacturing in supporting growth and market sentiment.
That resilience still sits alongside clear external risks. Seoul's defense chief vowed firm readiness over possible fallout from the Middle East conflict, and any renewed rise in oil prices would quickly feed into import costs, inflation expectations and currency pressure. For growth, policy and markets, the message is short-term relief rather than a full reset.