BOK chief says inflation unlikely to meet forecast

Recent policy efforts by South Korea's central bank were based on an assessment that inflation will undershoot its target, the bank's chief said Monday, bolstering views it will trim its growth and inflation outlook next month.In a surprise move on March 12, the Bank of Korea cut the benchmarket interest rate to an all-time low of 1.75 percent and raised the ceiling on loans extended to smaller firms through commercial lenders to 20 trillion won ($18 billion) from 15 trillion won last week in ef

March 30, 2015

Head of trade body urges gov't to minimize market intervention

The head of a major business lobby group in South Korea called on the government Monday to reduce its intervention in the market, saying the government should focus its regulatory reform only on areas that "the market cannot resolve by itself."Kim In-ho, chairman of the Korea International Trade Association (KITA), added that salaries should be left to the market as well, emphasizing that the issue has been approached from the "social and political" perspective, not from an economic one. "The co

March 30, 2015

S. Korean exports to key emerging economies fall in Jan.-Feb. period: data

Exports to key emerging economies that trade with South Korea declined sharply in the first two months of the year, official data showed Monday, as many are cautious about an expected U.S. interest rate hike. According to data by the Korea Customs Service and Statistics Korea, the country's exports to 19 emerging markets in January and February stood at US$36.69 billion, down 6.2 percent on-year from $39.09 billion tallied for the same two-month period in 2014.Emerging markets include large trad

March 30, 2015

Sales at discount outlets, departments stores rise in Feb.

Sales at discount outlets and major department stores grew from a year earlier in February, ending their five-month streak of on-year drop, the government said Sunday.  The combined sales of the country's three major discount outlet chains spiked 24.5 percent on-year in February, according to figures released by the Ministry of Trade, Industry and Energy.The increase marked a sharp turnaround from an 18.3 percent on-year drop in the previous month.  The ministry said the turnaround could largely

March 29, 2015

S. Korea's agricultural GDP 22nd worldwide in 2012

South Korea's gross domestic product in the agricultural sector ranked 22nd in the world in 2012, down four notches from 2009, data showed Sunday, apparently weakened by free trade agreements.  According to the data compiled by the Korea Rural Economic Institute, the country's GDP in the agricultural and fishery sector came to $27.3 billion in 2012, compared with $21.1 billion three years earlier.  The decline in the rankings is attributable to South Korea's efforts to sign FTAs with more countr

March 29, 2015

Seoul shares slip 0.14 pct on Yemen risks

South Korean stocks closed marginally lower Friday as foreigners shunned risky assets on growing geographical tension in the Middle East feared to stir problems with the crude oil supply, analysts said. The local currency rose against the U.S. dollar. The Korea Composite Stock Price Index lost 2.76 points, or 0.14 percent, to close at 2,019.80. Trading volume was moderate at 442.6 million shares worth 5.04 trillion won ($4.56 billion) with decliners outstripping gainers 445 to 368. Analysts said

March 27, 2015

Property price growth picks up in Q1: data

Apartment prices in South Korea increased at a faster rate in the first quarter compared with a year earlier, data showed Friday, reflecting growing demand for property purchase amid low interest rates.On a nationwide basis, prices gained 0.87 percent on-year in the January-March period, accelerating from 0.67 percent growth in the previous year, according to Kookmin Bank's index measuring property price fluctuations. Kookmin Bank is the flagship of the country's second-largest banking group KB

March 27, 2015

Seoul shares open higher on chemicals, steelmakers

South Korean stocks opened higher Friday, driven by gains in large-cap chemical companies and steelmarkers, analysts said. The Korea Composite Stock Price Index rose 3.35 points, or 0.17 percent to 2,025.91 in the first 15 minutes of trading. Leading chemical and material producer LG Chem climbed 0.7 percent, with major steelmaker Hyundai Steel soaring more than 4 percent. Utilities and logistics, in contrast, lost ground. State-run power supplier Korea Electric Power Corp. fell 1.5 percent and

March 27, 2015

Seoul shares fall on U.S. woes

South Korean stocks closed nearly 1 percent lower Thursday, a pullback from the previous session's record high of the year as worries about a slowdown in the United States loomed again on weak data and a strong dollar, analysts said. The local currency fell against the dollar. The Korea Composite Stock Price Index dropped 20.25 points, or 0.99 percent, to 2,022.56. Trading volume was moderate at 336.5 million shares worth 5.1 trillion won ($4.6 billion), with decliners outpacing gainers 457 to 3

March 26, 2015

Won snaps 3-day gain after sharp rally

The South Korean won slumped slightly against the U.S. dollar Thursday afternoon, ending its three-day winning streak as its recent rally was excessive and durable goods orders in the U.S. dropped unexpectedly last month, raising concerns over manufacturers amid a strong dollar, dealers said.The local currency was quoted at 1,105.00 per dollar as of 1:30 p.m., down 4.2 won from the previous session's close.The won had rallied some 3 percent over the past few trading sessions on expectations that

March 26, 2015

70 pct of ranking officials report increased wealth

Despite a weak economy, seven out of 10 South Korean lawmakers and high-ranking civil servants saw their wealth increase last year from a year earlier thanks mainly to a rise in the value of real estate, data showed Thursday.  Of the nation's 2,302 senior officials required to disclose their fortunes annually, 1,583, or 69 percent of the total, reported an increase in their assets in 2014, according to data from the government public ethic committees of the National Assembly, administrative and

March 26, 2015

BOK raises loan ceiling for smaller firms, cut rates

The Bank of Korea said Thursday it will raise the ceiling on loans extended to smaller firms through commercial lenders to 20 trillion won ($18.11 billion) from the current 15 trillion won and cut the rates on some loan schemes as well, the latest move by the central bank to support Asia's fourth-largest economy.The central bank has kept the cap at 15 trillion won since July when it decided to raise the ceiling to help spur loans to small and medium-sized enterprises.The loans, which BOK extends

March 26, 2015

Seoul shares open lower on U.S. woes

South Korean stocks opened lower Thursday, as renewed worries about a slowdown in the United States sapped investor appetite here, analysts said.The Korea Composite Stock Price Index lost 13.96 points, or 0.68 percent to 2,028.85 in the first 15 minutes of trading.Shares fell across the board, with large-cap exporters leading the decline. Market bellwether Samsung Electronics retreated 2.8 percent, with chip giant SK hynix tumbling more than 3.5 percent.Financial stocks, in contrast, gathered gr

March 26, 2015

Market value of bio stocks surges on growth hopes

The market value of bio and health care shares listed on the South Korean stock markets surpassed 30 trillion won ($27.22 billion) for the first time as investors pinned high hopes on their future growth, the bourse main operator Korea Exchange said Thursday. The combined market cap of the KRX health care index rose to 33.25 trillion won as of Wednesday, adding over 20 trillion won from a year ago and 10.2 trillion won this year alone, the KRX said. Bio shares have showed the strongest performan

March 26, 2015

Seoul shares close almost flat on lack of momentum

South Korean stocks continued their tepid trading on Wednesday amid absence of a fresh driver to move the market, with foreigners snapping up shares while institutions went on selloff, analysts said. The local currency rose against the dollar. After swerving in and out of positive terrain, the Korea Composite Stock Price Index added 1.44 points, or 0.07 percent, to 2,042.81. Trading volume was moderate at 416.8 million shares worth 4.98 trillion won ($4.52 billion) with gainers outnumbering decl

March 25, 2015

Gov't dividend earnings backtrack for 2nd year in a row in 2014

The government's dividend earnings from its stock holdings fell for the second year in a row to 329.1 billion won ($297.7 million) in 2014, mainly due to the poor performance of institutions it invested in, the finance ministry said Wednesday.The dividend payment received represents a 33.2 percent, or 163.9 billion won, drop from the year prior. It, however, was more than the 325.1 billion won that policymakers expected to earn."Among the 29 state-invested companies that pay dividends, only17 we

March 25, 2015

S. Korean economy grows 3.3 pct in 2014

The South Korean economy expanded 3.3 percent in 2014 as increased facility investments offset slowing growth in construction investment and exports, the central bank said Wednesday.The revised 2014 reading by the Bank of Korea is on par with an earlier estimate of 3.3 percent released in January. It marks a slight improvement from 2013, when the economy expanded 2.9 percent from a year earlier, according to the revised data.The South Korean economy, Asia's fourth-largest, has been going downhil

March 25, 2015