BOK expected to freeze interest rate

The Bank of Korea is widely expected to keep the benchmark rate steady at its rate-setting meeting on Thursday, a survey by Korea Financial Investment Association showed on Tuesday.The KOFIA survey, conducted on local bond dealers, brokers and analysts between Sept. 27 and Oct. 3, revealed that 96.3

Oct. 11, 2011

Card, capital firms face scrutiny

The Financial Supervisory Service plans to launch an on-the-spot probe soon into the credit card and capital services industries amid a series of financial accidents involving customer information leaks among loan issuance firms.The action comes after a great amount of personal information was leake

Oct. 11, 2011

World Bank to open regional consultation center in Seoul

The World Bank will open a consultation center in Seoul as part of their efforts to provide advice on finance to developing countries in the East Asia and Pacific region, the Finance Ministry said Tuesday.The agreement was reached under a memorandum of understanding signed between Choi Jong-ku, a de

Oct. 11, 2011

Financial firms set to pay hefty bonuses

South Korea’s financial regulator has urged local bank chiefs to stem excessive dividend payments and set aside enough money to brace for worsening shockwaves stemming from the ongoing global uncertainty, sources said Tuesday.The move comes on the heels of projections that local banks are expected t

Oct. 11, 2011

Automobile output jumps 10.3% in Sept.

South Korea’s automobile production increased 10.3 percent on-year in September on strong demand from both domestic and overseas markets, the government said Tuesday.The country’s five carmakers produced 374,014 vehicles last month, compared with 339,077 in the same period last year, according to th

Oct. 11, 2011

Producer inflation falls to 9-month low in Sept.

South Korea’s producer prices grew at the slowest pace in nine months in September as prices of agricultural products fell, the central bank said Tuesday.The producer price index, a barometer of future consumer inflation, rose 5.7 percent in September from a year earlier, slowing from a 6.6 percent

Oct. 11, 2011

Lone Star unlikely to appeal court ruling

Bankers say delay in KEB sales will further reduce U.S. buyout fund’s profitsChances are slim that Lone Star Funds will appeal to the Supreme Court for the Seoul High Court’s Oct. 6 verdict that the U.S.-based fund manipulated Korean stocks in 2003, said sources within the financial industry.Lone St

Oct. 10, 2011

Regulator considering limiting micro credit card payment

The Financial Services Commission said Monday that it is considering allowing businesses to refuse credit card payments for “micro amounts.”The potential upper limit would be 10,000 won ($8.55) considering similar cases in the United States and Canada, which impose a $10 cap, the nation’s top financ

Oct. 10, 2011

Caution advised on surging software, entertainment shares

Despite gloom in the broader stock market, software and entertainment shares outperformed at a steady pace this year, suggesting that investors have yet to discover value in select stocks on the Seoul bourse. Price-to-earnings ratios, a key yardstick for measuring stock’s valuation, reached 26 for s

Oct. 10, 2011

Pension agency’s investment in foreign property jumps

Investment by South Korea’s state-run pension fund in overseas properties jumped almost nine times this year, compared with that of the 2008 global financial crisis, according to data Monday, showing its effort to diversify its asset portfolio.The investment in overseas real estate by the National P

Oct. 10, 2011

KDB in talks with HSBC to take over Seoul branch: report

KDB Financial Group has been in talks with HSBC to take over the foreign bank’s Seoul branch, according to a news report on Sunday.The KDB refused to reveal details. “It is true that we are moving to acquire a bank. But it is uncertain at the current stage as to whether it (M&A target) will be HSBC,

Oct. 9, 2011

Korean stock market expected to outperform Asian peers

South Korea‘s stock market is expected to outperform other Asian markets thanks to its strong manufacturing sector amid growing uncertainties over the global economy, an expert said Friday.South Korea’s equity market has been volatile in recent sessions amid lingering woes over the debt crisis in Eu

Oct. 9, 2011

Banks face fines for irregular lending cases

Customers pressed to buy financial products in return for loansThe Financial Supervisory Service is set to levy penalties on several banks for habitual irregular loan issuances which burdened borrowers.The banks to face sanctions will likely include Industrial Bank of Korea, according to recent rema

Oct. 9, 2011

Zions Bank sued in Utah over ‘unconscionable’ fees

SALT LAKE CITY (AP) -- A customer who says Zions Bank makes it difficult -- if not impossible -- to avoid overdraft fees has filed a lawsuit in federal court, making the Utah bank one of dozens whose extra charges have triggered lawsuits from angry consumers.The lawsuit, which seeks class-action sta

Oct. 9, 2011

Fitch downgrades Italian, Spanish debt ratings

ROME (AP) — The Fitch agency downgraded its sovereign credit rating for Italy and Spain on Friday and said its long-term outlook for both countries was negative, citing high debt and poor prospects for growth.Separately, Fitch also said it was keeping Portugal‘s debt rating on watch for a poss

Oct. 9, 2011

Economy adds 103,000 jobs, but it’s not enough

Hiring improves in September as nation adds 103,000 jobs, but it will take more to end crisis WASHINGTON (AP) -- The jobs crisis isn’t getting worse. But it isn’t getting much better, either.The economy added just enough jobs last month to ease fears of a new recession. But hiring is still too weak

Oct. 9, 2011

GM streamlines Volt plant, delays 2nd shift

DETROIT (AP) -- General Motors Co. is delaying plans to add a second shift at the factory that makes Chevrolet Volt electric cars.The company said Friday it has found ways to make one shift more efficient, so it can produce the same number of cars as two shifts.Spokesman Chris Lee says GM still will

Oct. 9, 2011

Consumer borrowing dropped $9.5 billion in August

WASHINGTON (AP) -- Consumers slashed their borrowing in August by the most in 16 months. The drop suggests many worried about taking on new debt while the economy slumped and the stock market fluctuated wildly.Fewer people used their credit cards. And a measure of demand for auto and student loans f

Oct. 9, 2011