Bank of Korea Governor Lee Ju-yeol has said the latest key rate hike by the Federal Reserve was not unexpected, and that it remains to be seen what impact it will have on the domestic financial market. 

The BOK chief told reporters Thursday that the local market has been more interested in the U.S. central bank's message for its future interest rate policy rather than in Wednesday's rate decision.
 
The Federal Reserve raised its benchmark interest rate by a quarter percentage point to a range of two-point-25 percent to two-point-five percent on Wednesday. It also hinted it will slow down the pace of rate hikes next year. 

On the Fed's outlook that it will have two hikes over three in 2019, Governor Lee said that will need to be monitored as there is room for adjustments based on the circumstances. He added if the U.S. indeed slows down its pace of rate increases, it will reduce negative effects on the global economy and make it easier for other countries to run their monetary policies.