FSS toughens rules for opening bank accounts

Korea’s financial regulators will require domestic banks to apply tougher rules and procedures for customers opening a bank account in an effort to prevent them from establishing accounts under borrowed names used by third parties for slush funds and other financial irregularities.Consumers will no longer be able to open an account within five minutes at banks from next month as the Financial Supervisory Service will require banks to go through rigorous identification screening and verification,

Nov. 18, 2013

Korea to host G20 conference next month

The Ministry of Strategy and Finance said Monday that it will jointly host the G20 Seoul Conference with Australia’s department of finance, the Korea Institute of Finance and the Korea Development Institute on Dec. 18-19.Australia will host the G20 in 2014, and Sydney will host the first of two meetings of Group of 20 finance ministers and central bank governors on Feb. 21-23, 2014, according to the Australian prime minister’s office. Korea’s Finance Ministry said the Seoul Conference will invit

Nov. 18, 2013

Seoul shares end up 0.26 pct amid eased U.S. policy woes

South Korean stocks closed 0.26 percent higher Monday, as investors kept their hopes high about a delay of the U.S. stimulus cut, analysts said. The local currency rose against the U.S. dollar.   The benchmark Korea Composite Stock Price Index (KOSPI) added 5.17 points to finish at 2,010.81. Trading volume was light at 310.3 million shares worth 3.04 trillion won ($2.85 billion) with decliners outpacing gainers 462 to 339. The main index capped its gains as foreigners and retail investors opted

Nov. 18, 2013

Seoul shares up 0.48 pct in late-morning trade

South Korean stocks traded 0.48 percent higher late Monday morning, buoyed by gains in autos and oil refiners, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) climbed 9.7 points to 2,015.34 as of 11:20 a.m.Industry leader Hyundai Motor soared 2 percent and top oil refiner SK Innovation rose 1.8 percent. In contrast, some financial blue-chips fell. No. 4 banking group Shinhan Financial shed 1.2 percent, with Samsung Fire & Marine Insurance, South Korea's No. 1 nonlife insur

Nov. 18, 2013

Seoul shares open higher on eased U.S. policy woes

South Korean stocks opened higher Monday as investors continued to react with optimism over U.S.Federal Reserve Chair nominee Janet Yellen's remarks that the stimulus cut won't happen soon, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) rose 5.58 points, or 0.28 percent, to 2,011.22 in the first 15 minutes of trading.Shares gathered ground across the board, with food makers and chemical companies leading the climb. Leading confectioner Orion gained 1.5 percent, and LG Che

Nov. 18, 2013

Seoul to beef up oversight over state-run enterprises

The Ministry of Strategy and Finance will give more power to its steering committee to boost its oversight and evaluation of hundreds of state-run companies, institutions and quasi-sovereign enterprises, it said Sunday.The committee will be given more authority to operate like a “creditor bank” over the management of state-run companies to prevent executives from running the companies recklessly under heavy debt and receiving excessive pay and benefits.It will strengthen its management evaluatio

Nov. 17, 2013

Markets need to brace for volatile trading

Reassurance by the U.S. Federal Reserve Chairwoman nominee Janet Yellen that it will maintain its quantitative easing until the country has made progress in growth and employment has boosted global stocks, including Korea’s last week.The Korean benchmark KOSPI rebounded above the psychologically important 2,000 threshold for the first time in six trading days last Friday, driven by improved investor sentiment following Yellen’s support for an easy money policy.However, global markets, including

Nov. 17, 2013

Stocks rally on eased worries over U.S. stimulus tapering

Korea’s financial indices including equity prices and foreign exchange rates gained Friday as U.S. monetary policymakers overnight hinted at a longer-than-expected stimulus package.The benchmark KOSPI, which stayed below the 2,000 mark for five consecutive trading sessions, closed at 2,005.64, up 38.08 points from a session earlier. The secondary KOSDAQ also rose by 0.99 points to close at 512.74.The U.S. dollar fell 4.5 won to close at 1,063.4 won, heralding another round of the Korean currency

Nov. 15, 2013

FSS to ban card business of six retail companies

Six credit card businesses in the consumer goods-distribution industry will be scrapped as financial regulators move to crack down on the reckless issuance of quasi-cards among department stores and other big retailers.According to the Financial Supervisory Service, they are Grand Department Store, JU Department Store, Daehyun, Shinwon, Chonan Arario and Buan Paradise Hotel.Officials said the cards issued by the large retailers engaged in irregular offerings of benefits to cardholders or reckles

Nov. 15, 2013

Seoul shares gain 1.94 pct on abated U.S. woes

South Korean stocks closed 1.94 percent higher Friday due mainly to abated woes over the United States' policy uncertainties, analysts said. The local currency gained against the greenback.The benchmark Korea Composite Stock Price Index (KOSPI) added 38.08 points to close at 2,005.64. Trading volume was low at 259.7 million shares worth 3.62 trillion won (US$3.39 billion) with gainers outpacing losers 536 to 278.Analysts said Seoul shares gathered ground as investors' sentiment was boosted by th

Nov. 15, 2013

Seoul shares up 1.66 pct in late-morning trade

South Korean stocks traded 1.66 percent higher late Friday morning on the back of gains in techs and carmakers, analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) gained 32.57 points to 2,000.13 as of 11:20 a.m.Tech shares gathered ground, with the No. 1 industry player Samsung Electronics adding 1.83 percent and top chipmaker SK hynix climbing 4.02 percent. Flat panel maker LG Display gained 1.29 percent.Carmakers also traded higher, with No. 1 Hyundai Motor rising 2.88 perce

Nov. 15, 2013

Seoul shares open higher on U.S. gains

South Korean stocks opened higher Friday on the back of overnight gains on Wall Street following abated woes over a possible tapering of quantitative easing moves by the U.S. Federal Reserve, analysts said.The benchmark Korea Composite Stock Price Index (KOSPI) rose 26.65 points, or 1.35 percent, to 1,994.21 in the first 15 minutes of trading.Shares gathered ground across the board, with market behemoth Samsung Electronics adding 1.62 percent and No. 1 carmaker Hyundai Motor rising 2.67 percent.

Nov. 15, 2013

State-run firms scolded for greed, reckless management

Deputy Prime Minister and Finance Minister Hyun Oh-seok said that the government will tame excessive borrowing and executive pay at state-owned enterprises and put their finances under control.In a meeting with chief executives of 12 state-run enterprises on Thursday, the deputy prime minister warned them that “the party is over,” saying that the government will put a stop to their relentless greed for higher bonuses and salaries, and overleveraging.“The party is over now. We should face reality

Nov. 14, 2013

BOK hits back at U.S. currency claims

Bank of Korea Gov. Kim Choong-soo said Thursday that it was highly “inappropriate” to say that the country was able to achieve current account surpluses mainly due to its undervalued currency.The governor’s remarks to the press came after the BOK monetary policy committee unanimously decided to keep its key base rate unchanged at 2.5 percent for the sixth straight month.Gov. Kim said that Korea saw “surpluses mostly through trade with emerging economies, not with developed economies,” adding tha

Nov. 14, 2013

Korea’s credit ratings to remain flat amid debt issues: Moody’s

South Korea’s credit rating is anticipated to remain flat down the road despite the country’s rising public debts and household debts, Moody’s Investors Service Inc. said Thursday.“While (South) Korea’s general government fiscal fundamentals remain strong, supporting its Aa3 rating and stable outlook, the rise in public-sector corporate debt and household debts are credit challenges,” said Tom Byrne, a Moody’s senior vice president and regional credit officer.The remark came as South Korea’s hou

Nov. 14, 2013

Seoul shares gain 0.2 pct on U.S. hope

South Korean stocks closed 0.2 percent higher Thursday as investors' sentiment was boosted by the U.S. Federal Reserve chief candidate's remarks suggesting the stimulus tapering will not happen soon, analysts said. The local currency gained against the U.S. dollar.The benchmark Korea Composite Stock Price Index (KOSPI) added 4 points to close at 1,967.56. Trading volume was moderate at 319 million shares worth 3.7 trillion won ($3.46 billion) with gainers outpacing losers 441 to 367.Analysts sai

Nov. 14, 2013

Seoul shares up 0.18 pct in late-morning trade

South Korean stocks traded 0.18 percent higher late Thursday morning, led by gains in tech large-caps and textile firms, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) added 3.49 points to 1,967.05 as of 11:20 a.m.LG Electronics, South Korea's major home appliance maker, climbed 1.2 percent, with leading apparel firm LG Fashion soaring more than 2 percent. In contrast, shares of banking groups lost ground. No. 4 player Shinhan Financial fell 1.2 percent and its rival KB F

Nov. 14, 2013

Seoul shares open higher on Yellen's remarks

South Korean stocks began higher Thursday as remarks by the U.S. Federal Reserve chief candidate suggesting the stimulus tapering will not happen soon cheered investors, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) soared 14.48 points, or 0.74 percent, to 1,978.04 in the first 15 minutes of trading. Shares gathered ground across the board, with techs and autos leading the climb. Market behemoth Samsung Electronics gained 1.7 percent, with SK hynix hiking 2.4 percent. Hy

Nov. 14, 2013

Regulators turn up heat on Visa, MasterCard

Financial authorities plan to order Visa and MasterCard to slash some of their service charges, officials said on Wednesday.The two giant companies have allegedly made dubious contracts with Korean credit card issuers, which could put an excessive burden of membership and settlement service fees onto cardholders, according to officials at the Financial Supervisory Service.“Many local consumers, who only use their cards in the domestic market, currently have to pay Visa and MasterCard the service

Nov. 13, 2013