Unprecedented Series of Acting Presidents... Korean Economy Faces Deepening Crisis [3-Minute Brief]

① Leadership vacuum in economic command during Trump-driven tariff war... Confusion in trade negotiations
② Regional banks' asset quality at its worst since COVID-19
③ China signals possibility of negotiations with the U.S.

MARKET INDEX : Year to date

○All three major U.S. stock indexes closed lower.

○Uncertainty over U.S. tariff policy continues, leading to increased risk aversion in the markets.

○The Fed is widely expected to keep rates unchanged on the 7th; attention is focused on Powell's remarks.

Top3 NEWS

■Leadership vacuum and chaos in trade negotiations add to the crisis in the Korean economy

○In the midst of the Trump-driven tariff war, the country is experiencing an unprecedented series of acting presidents.
○Acting President Kim Bumseok focuses on economic management.
○"We need to establish a consistent policy direction."

■Regional economic downturn leaves local banks' asset quality at its worst since COVID-19

○Six regional banks, including iM Bank
○Delinquency and substandard loan ratios
○Highest or near-highest levels in five years since 2020

■Softened China says, "Willing to talk if the U.S. wants"

○China signals willingness to engage if the U.S. approaches with sincerity
○China eases its stance, saying there is no harm to itself
○Foreign media interpret this as a "signal for trade negotiations"

Graphic News "Reward where there is performance"... Banks break seniority for bold experiments

○NH Nonghyup Bank conducts special promotions for outstanding employees in the first half of the year, a practice previously reserved for year-end.

○Eligibility for special promotions expanded to non-banking sectors as well.

○Woori Bank offers MBA and international expo participation opportunities to the top 0.1% of outstanding employees.

the Chart Domestic financial firms rush to issue hybrid capital securities; is adequacy at risk?

○Domestic financial firms see a surge in hybrid capital securities issuance.

○Capital adequacy management could become challenging in the event of a financial shock.

○Capital expansion should be guided toward common equity capital.

Today's Key Schedule

○Domestic

On the 7th, Kosdaq Immunoncia subscription, final public offering price set at 3,600 won.

06:00 Foreign exchange reserves (USD) (April)

○Overseas

02:00 U.S. 10-year Treasury auction

02:00 U.S. Atlanta Fed GDPNow (Q2)

09:30 Japan Services PMI (April)

15:00 Germany Factory Orders (MoM) (April)

23:30 U.S. Crude Oil Inventories

◇Lunchtime & Evening Commute Weather

○Lowest temperature: 10℃ (▲10℃) ｜Highest temperature: 21℃ (▲21℃)
○Precipitation probability: 20% in the morning ｜ 10% in the afternoon
○Fine dust: Moderate in the morning ｜ Moderate in the afternoon

All you need in 3 minutes: essential, value-focused economic news. Published daily at 8 a.m.