Commercial banks are pulling down their loan interest rates to the 1 percent range, after the government announced its low-rate mortgage plans. The banking industry had been reluctant to break the 2 percent line for fear that the move might drive away deposit clients. But more banks are cutting their rates to attract more borrowers.Last week, the nation’s No. 1 player Shinhan Bank adjusted the interest rate for Shinhan S-Dream, its most popular fixed deposit product, by 0.1 percentage point to 1

Feb. 3, 2015

South Korean stocks closed marginally lower Tuesday as a selling mode by foreigners offset a rally by oil refiners, analysts said. The local currency gained against the U.S. dollar.   The Korea Composite Stock Price Index fell 0.72 points, or 0.04 percent, to finish at 1,951.96. Trading volume was moderate at 357.4 million shares worth 4.56 trillion won ($4.15 billion) with decliners outpacing advancers 399 to 394.   "We need more signs of a recovery in order for foreigners to opt for local asse

Feb. 3, 2015

The value of South Korea's socially responsible investment is estimated at $8 billion in 2013, lagging behind those of other advanced countries, data showed on Tuesday.    SRI refers to investment in companies that address environmental issues and practice sustainable and responsible management.  The global SRI market was estimated as $26.9 trillion, with Europe having the largest share of 43 percent, according to the Corporate Governance Service, a private researcher on corporate governance.  B

Feb. 3, 2015

Securities lending on the South Korean stock market has reached a record high, data showed Tuesday, in a sign that investors are not expecting any significant gains soon in the local bourse.The combined amount of borrowed stocks listed on the main KOSPI and the tech-laden KOSDAQ markets came to 50.15 trillion won ($45.5 billion) as of Jan. 31, according to the data compiled by the Korea Financial Investment Association.Securities lending is a transaction in which an investor borrows a stock for

Feb. 3, 2015

South Korean stocks closed higher Monday as investors expected local exporters to get a boost from weak oil prices, analysts said. The local currency dropped against the U.S. dollar.The benchmark Korea Composite Stock Price Index gained 3.42 points, or 0.18 percent, to close at 1,952.68. Trading volume was moderate at 357.89 million shares worth 4.3 trillion won ($3.9 billion), with gainers outpacing losers 444 to 365.Analysts said the weak oil prices upped the earnings outlook of exporters such

Feb. 2, 2015

The delinquency rate on loans extended by South Korean banks dropped in December from the previous month, the financial watchdog said Monday.The average delinquency rate of bank loans stood at 0.64 percent at the end of December, down 0.25 percentage point from a month earlier, according to the Financial Supervisory Service.Over the cited period, 4.5 trillion won ($4.09 billion) of debt was paid off, while 1.3 trillion won of fresh bad loans were added, the FSS added.The overdue rates of corpora

Feb. 2, 2015

South Korean stocks traded almost flat late Monday morning as top blue-chip shares remained mixed following 2014 earnings announcements, analysts said.The Korea Composite Stock Price Index edged up 0.58 point, or 0.03 percent, to 1,949.84 as of 11:20 a.m.Tech shares traded bearish, with Samsung Electronics remaining unchanged while SK hynix shed 2.2 percent. LG Display and LG Electronics plunged 2.22 percent and 0.66 percent, respectively.Shipbuilders, in contrast, gained ground, with Hyundai He

Feb. 2, 2015

South Korean stocks opened higher Monday on the back of gains in carmakers and shipbuilders, analysts said.The benchmark Korea Composite Stock Price Index moved up 4.42 points, or 0.23 percent, to 1953.68 in the first 15 minutes of trading.Carmakers traded higher, with Hyundai Motor adding 0.59 percent and its smaller sister Kia Motors climbing 0.33 percent. Its auto parts arm Hyundai Mobis added 1.41 percent.Shipbuilders also opened higher, with Hyundai Heavy Industries adding 5.31 percent and

Feb. 2, 2015

South Korea's monthly current account surplus slipped from a record high in the previous month but extended its surplus streak for the 34th straight month in December, data showed Monday.The current account surplus reached $7.22 billion last month, down from a revised $11.32 billion in November, according to preliminary data by the Bank of Korea. The current account is the broadest measure of cross-border trade.With the December data, the country's accumulated current account surplus hit a recor

Feb. 2, 2015

South Korea's antitrust watchdog said Sunday it will be looking at global tech companies that may be abusing their monopolistic control to disrupt fair competition in the local market, a move some insiders say may extend to Google and Apple."The plan is to check the information technology and electronics sectors to see whether the dominant actors are abusing their control," Fair Trade Commission chairman Jeong Jae-chan said, adding that greater resources will be allocated to examining the local

Feb. 1, 2015

South Korea's exports inched down from a year earlier in January, but its trade surplus jumped as imports dropped at a faster rate, the government said Sunday.The country's overall outbound shipments slipped 0.4 percent on-year to $45.37 billion last month, according to the Ministry of Trade, Industry and Energy.Imports plunged 11 percent on-year to about $39.84 billion.The trade surplus came to $5.53 billion, compared with a surplus of $810 million in the same month last year.January marked the

Feb. 1, 2015

S-Oil, South Korea’s third-largest refiner, said Friday it logged a bigger net loss in the fourth quarter on-year as a steep fall in oil prices hurt the value of its crude stockpile.The net loss came to 248.64 billion won ($226.16 million) in the October-December period, further widening from the 27.5 billion won loss a year ago, S-Oil said in a regulatory filing. Sales were down 22.1 percent to 6.2 trillion won in the period, with the company recording an operating loss of 213.2 billion won. Th

Jan. 30, 2015

South Korea’s consumer prices face both upside and downside risks this year ― sliding oil prices and volatile agricultural prices ― the country’s central bank said Friday.Additional falls in oil prices and a prolonged slump in domestic demand are expected to drag down the inflation rate in Asia’s fourth-largest economy this year, while uncertainties over agricultural prices pose upside risks, according to a semiannual report by the Bank of Korea.The report comes after the central bank slashed it

Jan. 30, 2015

Japan's Orix Corp. has been picked as the preferred bidder for a controlling stake in Hyundai Securities Co., the fourth-largest brokerage firm by market cap, financial sources said Friday.Earlier this week, Orix Corp. and South Korean private equity firm Pinestreet had submitted their bids for a 36 percent stake in Hyundai Securities.The Korea Development Bank, the lead manager for the deal, will allow Orix to conduct due diligence on the brokerage for one month and complete the deal before Jun

Jan. 30, 2015