South Korea’s First Rate Hike in 3 Years Hits Stocks Hard

South Korean stocks fell sharply on Thursday after the central bank raised interest rates for the first time in three years. The move, the first under new Bank of Korea Governor Shin Hyun-song, aims to curb inflation and stabilize the won. Investors reacted with concern over the country’s heavy reliance on energy imports and a weakening currency. The rate increase signals a shift toward tighter monetary policy in Asia’s fourth-largest economy.