Business sentiment for July among South Korean manufacturers fell to its lowest level in seven months, central bank data showed Monday, raising concerns over a protracted slump in domestic demand.
The index, which measures manufacturers’ outlook on business conditions for the coming month, came in at 78 for July, compared with 81 for June, according to a monthly survey by the Bank of Korea.
The July data marks the lowest since the outlook for December reached 78.
“Overall, it seems that concerns over slow domestic demand and doubts on China’s economic growth dampened sentiment,” a BOK official explained.
A reading below the benchmark 100 means there are more pessimists than optimists. The index has been below 100 since July 2010, when it hit the benchmark level. The outlook for July is based on a nationwide survey of 2,862 companies conducted from June 16-23. (Yonhap)
