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South Korean Government Bond Yields Fall Across the Board

Finance · Major Banks · yonhap_finance · 2026-08-26

South Korean government bond yields declined across all maturities on Tuesday, with the 3-year yield dropping to 3.790% amid broad market strength.

What Happened

Bond Yield Decline: South Korean government bond yields saw a broad decline across all maturities during Tuesday's trading session in Seoul. The benchmark 3-year Treasury bond yield fell by 4.0 basis points to reach 3.790%.

Long-term Maturity Performance: The 10-year Treasury yield dropped by 5.7 basis points to 4.263%, while ultra-long-term bonds, including the 20-year and 30-year maturities, also experienced significant downward pressure. This movement reflects a strong buying sentiment across the domestic fixed-income market.

Short-term and Corporate Bonds: Yields on 2-year and 5-year bonds decreased by 2.4 and 4.1 basis points, respectively. Additionally, the 2-year Monetary Stabilization Bond and 3-year AA- rated corporate bonds followed the downward trend, signaling a consistent easing of yields across the board.

Data-Driven Analysis: These market updates are based on data provided by Yonhap Infomax. The overall downward shift in the yield curve suggests a positive shift in investor sentiment regarding the current interest rate environment.

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