On April 4, the Bank of Korea held a task force meeting led by Governor Lee Chang-yong to discuss the extreme fluctuations in the won-dollar exchange rate observed in London and New York the previous day. The bank noted that while the exchange rate briefly surpassed 1500 won, the current environment is characterized by ample dollar liquidity, with South Korea's external borrowing costs and credit default swap (CDS) premiums remaining at stable levels.

The Bank of Korea expressed concerns regarding the ongoing volatility in financial market indicators such as exchange rates, interest rates, and stock prices, which may increase depending on developments in the Middle East. They emphasized the importance of monitoring the potential disconnection between exchange rates, interest rates, and domestic economic fundamentals, particularly the current account balance, to determine if movements are excessively volatile.

In response to external factors, the Bank of Korea plans to collaborate with the government to ensure timely interventions and prevent market sentiment from becoming overly skewed in one direction. The emphasis on close scrutiny of these economic indicators reflects the Bank's proactive approach to managing potential risks in a rapidly changing global economic landscape, particularly in light of geopolitical tensions.