June consumer sentiment hits 4-year high on second extra budget, policy optimism

Consumer sentiment in South Korea continued to improve in June, marking a third straight month of gains.

According to the Bank of Korea on Tuesday, the Composite Consumer Sentiment Index rose to 108-point-7, up 6-point-9 points from May.

That's the highest level in four years since June 2021.

The central bank attributed the rise to reduced political uncertainty, the second extra budget, and expectations for new government policies.

Housing market expectations also climbed sharply.

The housing price outlook index jumped 9 points to 120, as more people anticipate house prices to rise over the next year, the highest since October 2021.

A reading above 100 on both indices indicates optimism.