The growth of household loans by South Korean banks sharply slowed in July as housing transactions became sluggish after a tax benefit over home purchasing expired, the central bank said Wednesday.Household loans by local banks, including home-backed and credit loans, reached 470 trillion won ($421.4 billion) as of end-July, up 100 billion won from the previous month, according to the Bank of Korea.In June, household loans grew 4.8 trillion won, the largest monthly growth in six months, as more

South Korean financial firms are likely to trim the sales of foreign currency-denominated bonds in the second half as borrowing costs are rising amid speculation over U.S. monetary stimulus cuts, a report showed Wednesday.The issuance of foreign currency bonds amounted to $14.7 billion in the first half, down 37 percent from a year earlier, according to the report by the Korea Center for International Finance.It said that yields on U.S. Treasury and spreads on benchmark borrowing rates have been

South Korean stocks dropped 1.48 percent Wednesday, as investors again awoke to the fact that the U.S. central bank will soon start winding down its stimulus scheme, analysts said. The local currency fell against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) slid 28.29 points to close at 1,878.33. Trading volume was moderate at 307.7 million shares worth 3.49 trillion won ($3.12 billion) with decliners far outstripping gainers 550 to 256. "Concern on reduction of the U

South Korean stocks began lower Wednesday as investors were unnerved by the U.S. signaling another cut in economic stimulus, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) retreated 14.70 points, or 0.77 percent, to 1,891.92 in the first 15 minutes of trading. Most large caps lost ground, led by market bellwether Samsung Electronics falling 1.7 percent and leading automaker Hyundai Motor dipping 2.6 percent. Financial blue-chips also moved downward. Shinhan Financial shed

Foreigners became net buyers of local stocks last month after their net selling hit a nearly two-year high in June, mainly due to the U.S. Fed chairman's hint at maintaining its monetary stimulus policy, the financial regulator said Wednesday. Overseas investors bought a net 1.34 trillion won ($1.16 billion) worth of local shares in July, a turnaround from the 5.14 trillion-won net purchase a month earlier, according to the Financial Supervisory Service (FSS). The value of foreign investors' sha

Mirae Asset Global Investments Co., one of the nation’s major financial firms, is pushing for an aggressive merger and acquisition of U.S.-based assets, even as other brokerages express doubts, citing market maturity. The Korean firm is considering forming a consortium with U.S. private equity fund investors to purchase the L.A.-based coffeehouse chain Coffee Bean & Tealeaf. But the deal could be scuppered at any moment, Mirae Asset officials said, refraining from disclosing details related to t

South Korea’s financial authorities are divided over the entry barrier to the venture-driven stock market launched last month, sources said Tuesday, casting a pall over the market’s growth down the road.According to the sources, the Prime Minister’s Office recently requested the Financial Services Commission, the top financial regulator, to lower the entry barrier to the Korea New Exchange market, a new bourse for start-ups.“The KONEX needs short-term support in the initial stages to foster the

Samsung Asset Management Co., a financial arm of South Korea‘s No. 1 conglomerate Samsung Group, said Tuesday it has listed an exchange-traded fund on the Tokyo Stock Exchange.Samsung Asset said it has introduced the KODEX Samsung Group, one of its ETF product lineups that tracks a basket of affiliates under Samsung Group, to make the financial instrument more accessible to Japanese investors.It marked the second time for the firm to tap the Japanese stock market, after Samsung Assets introduced

South Korea has sharply narrowed its economic gap with the United States last year from 30 years ago, due mainly to the 2008 financial crisis that hampered U.S. economy, data showed Tuesday, while its economic difference with China has become wider. According to the data compiled by the Bank of Korea, South Korea‘s gross domestic product, the broadest measure of economic performance, came to US$1.29 trillion in 2012, while the U.S. held a 14-fold higher $16.24 trillion.The gap marked a sharp dro

South Korean stocks declined 0.5 percent Tuesday, led by losses in tech and steelmakers, analysts said. The local currency lost ground against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) slid 9.6 points to close at 1,906,62. Trading volume was light at 286.3 million shares worth 3.32 trillion won (US$2.97 billion) with decliners outnumbering gainers 473 to 312. "A slew of upbeat economic indexes here and abroad since last week drove up the KOSPI. But this week's been

South Korea's central bank is almost certain to freeze the key interest rate for the third month in a row for August amid improving signs of the local economy and concerns about China's slowdown, a poll showed Tuesday.All 20 analysts predicted that the Bank of Korea (BOK) is expected to leave the benchmark seven-day repo rate unchanged at 2.5 percent on Thursday, according to the survey by Yonhap Infomax, the financial news arm of Yonhap News Agency.In May, the BOK made its first rate cut in sev

South Korean stocks opened lower Tuesday weighed down by a U.S. federal banker's remarks implying that a cut in its stimulus may be drawing near, analysts said. The benchmark Korea Composite Stock Price Index (KOSPI) declined 10.03 points, or 0.52 percent, to 1,906.19 in the first 15 minutes of trading. Blue-chip exporters lost ground. Tech heavyweight Samsung Electronics dipped nearly 2 percent, with steelmaker POSCO falling 1.7 percent. The Federal Reserve Bank of Dallas President Richard Fish

South Korea’s household debts grew in the second quarter, mainly pushed by the government’s moves to bolster the sagging property markets, data showed Monday, spawning concerns that households‘ capacity to repay debt is worsening.Household loans by local banks, including home-backed and credit loans, reached 469.9 trillion won ($420.1 billion) as of end-June, up 4.8 trillion won from the previous month, according to the Bank of Korea. Such lending grew a combined 8.27 trillion won in the second

South Korean stocks closed 0.37 percent lower Monday, largely due to a selling binge by institutional investors to take profits, analysts said. The local currency rose against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) slipped 7.16 points to finish at 1,916.22. Trading volume was light at 230.4 million shares worth 2.71 trillion won ($2.42 billion), but gainers outnumbered decliners 417 to 360. "There was institutional demand for profit-taking after the KOSPI rallie