Samurai bond sales expected to rise in 2013 on weak yen

South Korean firms' sales of yen-denominated bonds are expected to increase this year as local companies seek to diversify funding sources amid Japan's quantitative easing, analysts said Tuesday.The combined value of Samurai bonds issued by local firms reached 317.7 billion yen ($3.38 billion) in 2012, rising sharply from 171.2 billion yen tallied two years earlier, industry data showed. Samurai bonds refer to yen-denominated debts issued by non-Japanese firms in the Japanese market.Market watch

Feb. 19, 2013

Foreign IBs say BOK's next move is rate cut

Major foreign investment banks expect the South Korean central bank to cut the key interest rate in March or April to support the country's economic growth, a report showed Tuesday.In a split decision, the Bank of Korea (BOK) froze the benchmark 7-day repo rate at 2.75 percent for the fourth straight month last Thursday on signs of the global economic recovery although a stronger won and geopolitical risks pose threats to the Korean economy.More than five foreign investment banks said that the B

Feb. 19, 2013

KEPCO seeks to boost small companies’ exports

The Korea Electric Power Corp., South Korea’s state-run power company, announced a set of measures Monday to help the country’s small and medium enterprises boost their exports.Under its new 15-point support measure, KEPCO will purchase 5 trillion won ($4.63 billion) worth of parts and labor from SMEs this year, up from around 4 trillion won in 2012, it said.The company will also provide up to 1 billion won, compared with 500 million won last year, in research and development support funds to ea

Feb. 18, 2013

Seoul shares expected to zigzag in tight range

SEOUL (Yonhap) -- South Korean stocks are expected to bounce between small rises and falls next week, paring gains from a nine-week high rally, amid continuing jitters over a weaker yen and U.S. spending cuts, analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) closed up 30.28 points, or 1.55 percent, to 1,981.18 on Friday, the biggest weekly gain since Dec. 14 last year. The statement from developed nations on Tuesday warning about Tokyo's competitive currency devaluation part

Feb. 16, 2013

S.Korean casino company targets wealthy Chinese

Grand Korea Leisure Co. (GKL), the South Korean operator of a casino business for foreign tourists, will beef up its marketing activities to attract China's wealthy customers, company officials said Friday.GKL, which operates three casinos in Seoul and Busan under the brand name Seven Luck, has increased the number of marketing personnel for Chinese VIP gamblers, or high rollers, from 29 to 60.In the fourth quarter of last year, GKL saw the drop amount, which is the total amount of money and mar

Feb. 15, 2013

Seoul shares end higher amid weak EU growth

South Korean stocks closed marginally higher Friday as investors took a breather following a two-day rally and weak output data in the eurozone, analysts said.The local currency strengthened against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) edged up 1.57 points, or 0.08 percent, to finish at 1,981.18. Trading volume was heavy at 590.5 million shares worth 3.86 trillion won (US$3.56 billion) with gainers outpacing decliners 422 to 374."Lackluster corporate performan

Feb. 15, 2013

Seoul shares down 0.03 pct in late-morning trade

South Korean stocks traded marginally lower late Friday morning, as automakers and shipping lines drove the key index down, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) slipped 0.69 points, or 0.03 percent to 1,978.92 as of 11:20 a.m.No. 2 shipyard Hyundai Merchant Marine plunged more than 4 percent following a market forecast that its earnings had dwindled in 2012. Industry leader Hyundai Motor fell 1.8 percent. In contrast, domestic-focused issues gathered ground, wit

Feb. 15, 2013

Seoul shares inch down after strong start

South Korean stocks opened higher Friday but then fell slightly as a decline in the quarterly output of European nations spurred losses in key local exporters, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) dropped 0.39 points to 1,979.22 as of 9:15 a.m.Market bellwether Samsung Electronics slid 0.6 percent and automaker Hyundai Motor dipped 1.4 percent. The 17-nation eurozone economy reported on Thursday its gross domestic product declined 0.6 percent on-year in the four

Feb. 15, 2013

U.S.-EU trade deal expected to have little impact on Korea

A trade deal between the European Union and the U.S would have little impact on the Korean economy, which has its own free trade agreements with the two major export destinations, experts in Seoul said on Thursday. “It is too early to talk about the detailed fallout of the EU and U.S. trade pact, but Korean exporters could be shielded by the two effective trade pacts with the U.S. and EU,” an official from the Korea International Trade Association said. Concerns have been raised over the afterma

Feb. 14, 2013

Trade surplus hits one-year low in January: data

South Korea logged a trade surplus for the 12th straight month in January but the surplus dropped to the lowest level ever during the same period as exporters faced tough competition in global markets, customs data showed Thursday.According to the customs clearance trade figures provided by the Korea Customs Service, South Korea’s exports rose 10.9 percent on-year in January to $45.68 billion, while imports grew 3.9 percent to $45.21 billion. As a result, South Korea posted a trade surplus of $4

Feb. 14, 2013

Fitch maintains sovereign ratings on S. Korea despite Pyongyang's nuke test

Global credit appraiser Fitch Ratings said Thursday that it maintains its sovereign ratings on South Korea despite heightened geopolitical tension following the recent nuclear test by North Korea.The credit ratings agency also said it maintains its rating outlooks at "stable."Last September, Fitch raised the ratings on South Korea from "A+" to "AA-," the fourth-highest of its rating system, and has maintained the level ever since.North Korea conducted its third nuclear test on Tuesday in defianc

Feb. 14, 2013

BOK freezes key rate at 2.75%

The Bank of Korea kept its key base rate unchanged at 2.75 percent for four consecutive months on Thursday as various economic indices show signs of recovery both at home and abroad.The inflation rate in South Korea remained stable, and geopolitical risks from North Korea concerning its provocative weapons tests had very limited effect on the South’s economy.However, BOK Governor Kim Choong-soo said that uncertainties remain as the U.S. and eurozone, Korea’s two major export markets, are still g

Feb. 14, 2013

S. Korea's ranking in gold holdings jumps last year: report

South Korea's ranking in terms of gold holdings jumped last year as the country continued to invest in the precious metal as part of efforts to diversify its foreign reserve portfolios, a report showed Thursday.South Korea's gold holdings came to 84.4 tons last year, the 36th largest among 100 countries surveyed, according to the report by the World Gold Council. The ranking was up from 56th tallied in July 2011.The rise came as the country has kept purchasing gold, which is regarded as one of t

Feb. 14, 2013

Seoul shares open tad higher on auto, chemical shares

South Korean stocks began a tad higher Thursday on gains in tech and chemical shares, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) gained 2.17 points, or 0.11 percent, to 1,978.24 in the first 15 minutes of trading. Foreigners snapped up a net 7.4 billion won (US$6.8 million) worth of local equities as of 9:15 a.m. Auto and chemical issues led the gain, with No. 1 carmaker Hyundai Motor rising 0.2 percent and industry leader LG Chem advancing 1 percent. Market behemoth

Feb. 14, 2013

Korean employment weakens further in January

Korea’s employment rate continued to drop for the third straight month, hitting a one-year low of 57.4 percent in January, according to Statistics Korea.Data released Wednesday showed that Korea’s employment rate is below the OECD-member average of 63 percent.January’s job rate was unchanged from the same period a year ago, and the youth unemployment rate continues to show no signs of improvement.The jobless rate for those aged between 15 and 29 reached 7.5 percent in January for the second mont

Feb. 13, 2013