Manufacturers' biz sentiment slips for October

Korean manufacturers' business confidence for October fell again after a slight rebound this month, as global uncertainties and a domestic slowdown continue to weigh down their overall sentiment, the central bank said Thursday.

The index of manufacturers' outlook on business conditions came in at 72 for October, down from 75 in September, according to a monthly survey by the Bank of Korea (BOK). The index measures manufacturers' expectations for the coming month.

The sentiment index gained for this month after registering a 39-month low of 70 in August. A reading below the benchmark 100 means pessimists outnumber optimists. The index is based on a nationwide survey of 2,503 companies conducted from Sept. 13-20.

"More companies picked slowing consumption and rising raw material prices as concerning factors," said Lee Seong-ho, a BOK official.

The index gauging manufacturers' assessment of current business conditions came in at 69 in September, down from 72 in August, the BOK added.

A separate survey by the Federation of Korean Industries showed that a majority of local companies are pessimistic about their business conditions for October.

The data came as the eurozone debt crisis and China's slowing growth overshadow prospects of the export-dependent Korean economy.

The BOK has lowered the 2012 growth forecast of the country, Asia's fourth-largest, to 3 percent from 3.5 percent due to sluggish economic conditions here and abroad.

The index gauging large companies' outlook on business conditions reached 71 for October, down from 77 recorded in September. The index measuring exporters' business prospects came in at 74 for next month, compared with 78 for this month, according to the survey. (Yonhap)