Skip navigation

Current DateTime: 05:48:30 27 Nov 2009
LinksList Documentid: 24355697
  • Runway Angels

      The superbowl of fashion shows, models walk down the runway at the 2009 Victoria's Secret Show.

  • Smartphone Guide

      Here's a need-to-know guide to nine devices, based on features, price, network and platform.

  • Wines for the Holidays

      Not quite sure what wine to pair with Turkey or Creme Brulee? Our experts do.

FEATURED QUIZZES


Current DateTime: 05:48:30 27 Nov 2009
LinksList Documentid: 33793611
  • How Well Do You Know Your Bird?

      Let's talk turkey. Test your turkey knowledge and perhaps pick up a bit of trivia to trot out at your holiday meal.

  • A Healthier & Wealthier You

      Take the following quiz and find out how much you know about the impact of obesity on the health of the U.S. economy.

  • The Billionaire BFF's

      Philanthropists. Bridge partners. Hockey players. Which responses are based on facts from Buffett's and Gates' real lives?


Current DateTime: 05:48:30 27 Nov 2009
LinksList Documentid: 24890560
  • Winterizing Your Portfolio

      If 2009 was the winter of our discontent, will 2010 be a winter wonderland for investors? A lot depends on the recovery—or lack thereof.

  • Investor's Guide to Real Estate

      Some even say the long-awaited recovery is here. Regardless, buyers and sellers alike can profit from our guide.

  • Alternative Investing

      Stocks and bonds? Sure. But it's a big world out there for investors.

powered by digg
South Korea Set for More Action to Protect Its Economy
By: Reuters, South Korea, economy, stimulus package | 31 Oct 2008 | 01:26 AM ET
Text Size

South Korea is working on a new set of policies to boost demand and offset the impact from a global slowdown on Asia's fourth-largest economy as investors are more hopeful that it has averted a full-scale financial meltdown.

Korea, Korean Flag
CNBC.com

The Finance Ministry plans to announce next week measures to boost domestic demand that are widely expected to be focused on the construction industry given its quick spillover effects into other parts of the economy.

The Maeil Business Newspaper reported late on Thursday the moves would include 9 trillion won ($7.3 billion) of additional government spending next year.

"Worries that the financial meltdown will spread to the real economy are deepening," said Yoo Soo-min, a stock market analyst at Hyundai Securities. "Banking shares had been a real drag on the index on persistent fears they may have to make writedowns and their earnings will have a hard time recovering in the coming quarters."

Seoul stocks were up a modest over 2 percent while the won lost 2.5 percent in late trade, but both markets were headed for their biggest weekly gains in years.

Investment bank Credit Suisse recommended investors to buy South Korean stocks, saying it was the most "underowned" market in Asia.

Gloomier Than Ever

Investors are awaiting the release on Monday of October export and inflation figures, which will be closely watched for clues on interest rates.

October exports will probably post their slowest annual growth in 13 months, a Reuters survey shows.

More From CNBC.com ...

The Bank of Korea slashed interest rates by a total of 1 percentage point in October, including the largest-ever emergency cut of three-quarters of a point this week, to help keep the economy growing.

The government's measures come as a central bank survey showed on Friday that the outlook by export-led manufacturing firms was the gloomiest ever as the global economy looked set to slip into a severe slump following the financial crisis.

On Thursday, Seoul stocks jumped a record 12 percent and the won rose 14 percent in its biggest daily gain in 11 years after the Federal Reserve announced currency swap lines with South Korea and three other countries.

The stock market's benchmark KOSPI is up 16 percent on the week and the won by 16 percent as they head for the biggest weekly gains on record.

But shares in banks and manufacturers fell as investors increasingly turned their attention to the bleak outlook for exports. Bank stocks fell more than 4 percent and the electronics sector lost more than 2 percent.

South Korea has already offered a $130 billion package to help its banks avoid running out of dollars and a separate $4 billion scheme to help home builders faced with a growing number of unsold homes and worsening cash flows.

Its economy grew a seasonally adjusted 0.6 percent in the third quarter over the previous quarter, the central bank said last week, marking the slowest expansion in four years.

Ratings firm Moody's Investors Service forecast this month South Korea's economic growth would tumble to 2.2 percent in 2009, the slowest in 11 years, from around 4 percent this year.

Copyright 2009 Reuters. Click for restrictions.
Tools:
Print EmailAdd This share icon
  • digg share

CNBC HIGHLIGHTS

  • These four sectors will be the next to lead the market.
  • Zhu Zhu Pets are this year's must-have toy, fetching $40 or more on eBay.
  • T shirt man
  • From the why-didn’t-I-think-of-that file, we present Jason Sadler, a man whose job is wearing T-shirts.
  • It may be the most unusual guide to business you'll read.
  • Shopping for a gadget hound? The choices can be baffling. Here are a few that should be a hit.
  • "The Who" will be the halftime act for Super Bowl XLIV on Feb. 7 in Miami. Is the NFL behind the times?
ADD COMMENTS
Remaining characters


Current DateTime: 06:14:06 27 Nov 2009
LinksList Documentid: 29778428

Current DateTime: 09:11:31 27 Nov 2009
LinksList Documentid: 29779196

Current DateTime: 10:38:14 27 Nov 2009
LinksList Documentid: 29779199

Current DateTime: 07:56:30 27 Nov 2009
LinksList Documentid: 29779198
  Data is a real-time snapshot  *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
A Division of NBC Universal
Thomson ReutersThomson Reuters