South Korea raises key rate by quarter point as inflation soars

SEOUL -- The Bank of Korea raised its key rate by a quarter of a percentage point to 2.5% on Thursday in a bid to slow inflation that has stayed over 6% for the last two months.

The expected move follows a half-point rise in July. South Korea's consumer price index hit a nearly 24-year high last month, surging 6.3% year-on-year following a 6.0% increase in June.