First Rate Cut... Wall Street Says "Pivot Not Yet" [3-Minute Brief]

[Quick Overview]
1. First benchmark rate cut of the year... Wall Street says "too early for a pivot" as outlook remains uncertain
2. Government assesses "limited impact on domestic economy" from US rate cut decision
3. Banks argue telecom companies should be included in voice phishing compensation responsibility

MARKET INDEX : Year to date

○All three major New York stock indexes hit record highs as interest rate cuts resumed

○The Russell 2000, representing small and mid-cap stocks, also reached an all-time high

○Jobless claims saw the largest drop in four years

Top3 NEWS

■ US: Despite the first rate cut of the year... Wall Street says "hawkish cut, too early to call it a pivot" amid Powell's cautious stance

○The Federal Reserve lowered its benchmark interest rate to 4.0~4.25% per annum
○The dot plot suggests two additional cuts within the year
○Divergent views among committee members make the future rate path uncertain

■ Vice Prime Minister Koo Yooncheol: "Limited impact of US rate cut on domestic market"

○First F4 meeting since the start of the Lee Jaemyung administration
○The US Federal Reserve cut its benchmark rate by 0.25%
○Vice Prime Minister: "Monitoring US tariff negotiations and more"

■ Banking sector begins discussion on no-fault compensation for voice phishing victims: "Telecom companies should also be included"

○The government is pushing for no-fault compensation for voice phishing victims
○Banks argue for including telecom companies in the responsibility
○There are cases overseas where joint liability systems have been introduced

Graphic News: 70% of companies say "Tariff negotiations must be concluded quickly"

○Prolonged Korea-US negotiations could disrupt management plans and investment schedules

○Automotive industry says "15% tariff is critical"... shipbuilding sector also feels the burden of 'Masga'

○Trade experts call for a "cautious approach"

the Chart: US rate cut brings complex implications... Impact on Korea's Monetary Policy Board in five weeks

○US cuts policy rate by 0.25 percentage points for the first time in nine months

○Despite the dot plot projecting three more cuts within the year, a 'hawkish' view prevails

○Korea-US interest rate gap narrowed by 1.75 percentage points, but concerns remain

Today's Key Events

○Domestic

S2W to be listed on KOSDAQ, final public offering price set at 13,200 won

○International

01:00 US 10-year TIPS Treasury auction

01:30 Speech by German Bundesbank's Mauderer

05:00 US long-term international capital flows (July)

05:30 US Federal Reserve balance sheet

08:30 Japan core consumer price index (YoY) (August)

12:00 Bank of Japan interest rate decision

16:00 Germany producer price index (MoM) (August)

19:00 Eurozone finance ministers meeting

◇Lunch & Evening Commute Weather

○Lowest temperature: 18°C (▼1°C) ｜Highest temperature: 23°C (▼3°C)
○Chance of precipitation: 30% in the morning ｜ 60% in the afternoon
○Fine dust: Good in the morning ｜ Good in the afternoon

All the essential, cost-effective economic news in just three minutes. Published daily at 8 AM.