U.S. stocks fall on backlash over cap on credit-card interest rates…an icy commute [Morning Briefing]

◆ U.S. stocks weaken on fallout from Trump’s push to cap credit-card interest rates

Wall Street’s three major indexes fell together on the 13th local time. Financial stocks weakened after major Wall Street banks criticized U.S. President Donald Trump’s demand that credit-card companies limit interest rates to a maximum of 10% per year for one year. The U.S. December Consumer Price Index (CPI) came in in line with or below expectations, but the market showed little reaction. At the New York Stock Exchange (NYSE), the Dow Jones Industrial Average ended down 398.21 points (-0.80%) at 49,191.99. The Standard & Poor’s (S&P) 500 slipped 13.53 points (-0.19%) to 6,963.74, and the tech-heavy Nasdaq fell 24.03 points (-0.10%) to close at 23,709.87.

◆ International oil prices surge…Trump: “Too many protest deaths in Iran”

International oil prices jumped nearly 3%. The move followed Trump’s cancellation of a meeting with Iranian government officials and his encouragement for Iranians to protest more actively. On the New York Mercantile Exchange, February-delivery West Texas Intermediate (WTI) crude settled up $1.65 (2.77%) at $61.15 a barrel. Analysts say markets are pricing in the possibility of U.S. military intervention in Iran’s political turmoil.

◆ Prosecutors seek death penalty for Yoon as “ringleader of insurrection”

The special counsel team for the insurrection case sought the maximum penalty of death for former President Yoon Suk Yeol, who was indicted and sent to trial on insurrection charges for declaring martial law on December 3, 2024. The team said severe punishment is warranted given the grave act of undermining the constitutional order, which is difficult to find precedent for in constitutional history. The first-instance verdict will be delivered at 3 p.m. on February 19. Cho Eun-seok’s special counsel team asked the court to sentence Yoon to death at the closing hearing held the previous day under the Seoul Central District Court’s Criminal Division 25 (Presiding Judge Ji Gwi-yeon).

◆ Trial over Yoon’s alleged “flight to Australia” begins…hearing also set for Unification Church allegations tied to Kim Keon-hee

Proceedings begin today in the trial over allegations that former President Yoon Suk Yeol was involved in a “flight to Australia.” At the same court, a hearing is also scheduled for allegations involving the Unification Church tied to First Lady Kim Keon-hee. However, as both are preliminary hearing dates that do not require the defendants’ attendance, it is unlikely they will face each other in court. The Seoul Central District Court’s Criminal Division 22 (Presiding Judge Cho Hyung-woo) will hold the first preliminary hearing today in Yoon’s case on charges including assisting a criminal’s escape and violating the State Public Officials Act.

◆ PPP ethics panel expels Han Dong-hoon over “party members’ bulletin board” controversy

The People Power Party (PPP) Central Ethics Committee decided the previous day to expel former leader Han Dong-hoon in connection with the so-called “party members’ bulletin board (dangge) controversy,” which arose after allegations surfaced involving his family. The committee convened a meeting from 5 p.m. into late night to discuss the level of disciplinary action and stated it would “expel the disciplined party member Han Dong-hoon for violating the party constitution and rules and Article 20, Paragraph 1, Items 1 and 2 of the ethics committee regulations, and Articles 4–6 of the ethics code.” The committee said the expulsion is based on Han’s actions that violate party rules, including “conduct extremely harmful to the party” and “violations of applicable laws and the party constitution/rules/ethics code that hinder the party’s development or, as a result of such conduct, alienate public sentiment.”

◆ President Lee tours Horyu-ji with Takaichi, wraps up Japan trip with meeting with Koreans in Japan

President Lee Jae-myung will continue his second day of his Japan visit today before returning home. As part of a friendship event, he plans to tour Horyu-ji (Hōryū-ji), a signature cultural heritage site in Nara Prefecture, together with Japanese Prime Minister Sanae Takaichi. Horyu-ji is a place where visitors can reflect on ancient Korea–Japan history, and it houses a wooden statue of Kannon known as the “Baekje Kannon.” President Lee is then expected to head to Seoul after holding a meeting with ethnic Koreans in the Kansai region, including Osaka, as the final event of his Japan trip.

◆ Iran death toll estimate rises to 12,000

Reports say the number of deaths linked to protests against Iran’s economic hardship is rising rapidly. According to the Associated Press, the U.S.-based Human Rights Activists News Agency (HRANA) said it has identified about 2,000 deaths as the protests have continued for 17 days through that day. Of those, 1,847 were protesters and 135 were government-side personnel such as military and police officers, it said. Separately, it also cited the deaths of nine children and nine civilians not involved in the protests, and noted that total arrests exceed 16,700. As authorities intensify their crackdown, concerns are also growing about further human-rights abuses related to judicial procedures, including coerced confessions.

◆ Joint probe launches full-scale investigation into Unification Church and Shincheonji…corporate status could be revoked if laws are broken

The joint investigation headquarters into corruption involving collusion between religion and politics has completed internal preparations and launched a full-scale investigation into the Unification Church and Shincheonji. The government plans to pursue revoking the Unification Church’s authorization as a religious corporation if violations of the law are confirmed through the probe. According to the legal community, the headquarters finished organizing its team over the weekend at offices set up at the Seoul High Prosecutors’ Office and will begin full-scale investigations this week. Its targets include all allegations of religion–politics collusion involving religious groups such as the Unification Church and Shincheonji—such as claims of providing money or valuables to political figures or joining specific parties to intervene in elections.

◆ A frigid Wednesday commute…snow and rain in places from late afternoon

On Wednesday the 14th, the country will see intermittent clouds before turning gradually overcast from the afternoon. From late afternoon, northern Gyeonggi and northern inland and mountainous areas of Gangwon are expected to see flurries under 0.1 cm or raindrops under 0.1 mm, and at night the rest of the Seoul metropolitan area as well as inland and mountainous Gangwon and central and northern Chungbuk may see similar light precipitation. From late at night, rain or snow is forecast for inland and mountainous Gangwon. Morning temperatures will be very cold, and caution is advised for icy roads and black ice. Daytime highs are expected to range from -1 to 10°C.

Oh Jeong-min, Hankyung.com reporter blooming@hankyung.com