S.Korea vows swift action to stabilise markets

SEOUL (BestGrowthStock) – South Korea’s government on Wednesday pledged to take coordinated action with the central bank if needed to help stabilize local financial markets, which have been rattled by euro zone and geopolitical worries.

“The government will take action aggressively and swiftly in coordination with the Bank of Korea (if needed) while keeping a close watch on the markets,” Vice Finance Minister Yim Jong-yong told a meeting of senior economic and financial officials.

“(The authorities) will keep closely checking foreign currency (Read more about trading foreign currency. markets and will ensure the necessary amount of foreign currency (Read more about trading foreign currency. liquidity is supplied,” he said.

The meeting was held after the won and the local stock market (.KS11: ) fell nearly 3 percent each on Tuesday as increased military tensions with North Korea aggravated investors’ anxiety, already running high over the euro zone’s financial instability.

Yim also said South Korea would turn to suppliers in Australia or Vietnam for such minerals as anthracite should local industries face short supply after the South suspended trade with North Korea.

Stock Market Today

(Reporting by Lee Shin-hyung; Writing by Yoo Choonsik; Editing by Jonathan Hopfner)

S.Korea vows swift action to stabilise markets