The chief of South Korea’s central bank said Friday that uncertainties have grown concerning the prospects of trade talks between the United States and China, after US President Donald Trump warned of imposing extra tariffs on Chinese goods.

“It is true that uncertainties have grown further over the US-China trade talks” Bank of Korea Gov. Lee Ju-yeol said at a meeting on financial and economic status. “But we need to calmly keep watch as there are considerable expectations that the two countries will continue efforts to strike a deal.”

The monetary policymaker also urged BOK executive members to closely examine the consequences of the ongoing trade talks upon the domestic market.

In a statement, the central bank said the mounting trade conflict has negatively affected investor sentiment in global financial markets and expanded uncertainties in price variables.

On Wednesday, President Trump accused China of “breaking the deal” in bilateral trade talks. Also, the Office of the United States Trade Representative filed paperwork to raise tariffs on $200 billion on Chinese imports to 25 percent from the previous 10 percent.

Protesting Washington’s abrupt move, Beijing vowed retaliation.

Amid the turbulence, Seoul’s main bourse Kospi sank over 3 percent Thursday, but opened higher Friday, reflecting investors’ hopes for a positive outcome from trade talks now under way in Washington.

By Bae Hyun-jung (tellme@heraldcorp.com)