my timesThe Korea Times

Economy

PolicyCryptocurrencyOthers
  • Others

    KOSPI plunges 8% on concerns over end of chip earnings cycle, interest rate hike

    Korean stocks tumbled Monday, as a broad-based correction in global semiconductor shares triggered heavy selling across the market, prompting the activation of both sidecar trading curbs and circuit breakers on the KOSPI and Kosdaq markets. Attention is centered on whether KOSPI, which has staged a record-breaking rally this year, can resume its upward trajectory after a short-term correction or whether market volatility will intensify further. The benchmark KOSPI opened 112.50 points, or 1.38 percent, lower at 8,048.09 before extending its losses throughout the session to close at 7,484.41, down 676.18 points, or 8.29 percent. The index reached an all-time intraday high of 8,933.62 on June 2. After plunging 5.54 percent on Friday, the KOSPI posted losses for a second consecutive session, underscoring growing concerns over a pullback in semiconductor stocks that had fueled the market's recent rally. Amid heavy selling pressure, trading restrictions kicked in shortly after the market opened, with a Level 1 circuit breaker triggered at 9:03 a.m. and a sell-side sidecar activated at 9:34 a.

    3 MIN READBy Jun Ji-hye
    KOSPI plunges 8% on concerns over end of chip earnings cycle, interest rate hike
  • Economy

    Lee attributes weakening won to foreign investors' portfolio rebalancing

    2 MIN READBy Lee Hyo-jin
    Lee attributes weakening won to foreign investors' portfolio rebalancing
  • Economy

    Financial authorities vow stern action against excessive volatility, one-sided FX market moves

    2 MIN READBy Yonhap
    Financial authorities vow stern action against excessive volatility, one-sided FX market moves
  • Economy

    Corporate lending grows at fastest pace in 3 1/2 years in Q1: BOK

    1 MIN READBy Yonhap
    Corporate lending grows at fastest pace in 3 1/2 years in Q1: BOK
  • Economy

    Economy continues 'gradual improvement' on strong chip exports: KDI

    2 MIN READBy Yonhap
    Economy continues 'gradual improvement' on strong chip exports: KDI
Korea Times
About Us
Introduction
History
Contact Us
Products & Services
Subscribe
E-paper
RSS Service
Content Sales
Site Map
Policy
Code of Ethics
Ombudsman
Privacy Policy
Youth Protection Policy
Terms of Service
Copyright Policy
Family Site
Hankookilbo
Dongwha Group
FacebookXYoutubeInstagram
CEO & Publisher: Oh Young-jinDigital News Email: webmaster@koreatimes.co.krTel: 02-724-2114Online newspaper registration No: 서울,아52844Date of registration: 2020.02.05Masthead: The Korea TimesCopyright © koreatimes.co.kr. All rights reserved.

Read more

Economy

Gov't to take measures against excessive currency volatility

Finance Minister Choo Kyung-ho speaks during a press conference at the Government Complex in Sejong, central Korea, June 20. YonhapThe government is ready to take appropriate action in response to any one-sided movements in the local foreign exchange market, the country's top financial policymaker said Monday, in his latest remarks apparently aimed at easing growing market anxiety amid the U.S.' aggressive monetary tightening and worries over a global recession."The relevant authorities will take action in an appropriate manner if there is a one-side movement in the market due to anxiety," Finance Minister Choo Kyung-ho told reporters. The minister, however, declined to comment on what would constitute a proper range of the won-dollar exchange rate, saying that such remarks could cause misunderstanding in the market. The local currency has been losing ground against the U.S. dollar as investor appetite for risk has declined amid global inflation and recession woes. On Monday, the won fell to an intraday low for this year of 1,295.3 won against the greenback.Last week, the Fed hiked i

Jun 20, 2022
Gov't to take measures against excessive currency volatility
  • Seoul shares, Korean won skid to yearly lows on recession fears
Economy

FSS chief urges banks to intensify loss-absorbing capabilities, better manage foreign liquidity

Lee Bok-hyun, chief of the Financial Supervisory Service (FSS), speaks during his first meeting with chiefs of major banks in Seoul, June 20. YonhapA top financial regulator on Monday urged banks to beef up their loss-absorbing capabilities and make efforts for better management of foreign liquidity amid rising uncertainty at home and abroad from global monetary tightening and a possible economic recession.Lee Bok-hyun, chief of the Financial Supervisory Service (FSS), made the remark in his first meeting in Seoul with chiefs of major banks after taking office earlier this month."Current economic conditions are showing signs of a complex crisis in which risk factors are emerging simultaneously from the U.S. Federal Reserve's steep rate increases, the protracted war in Ukraine and supply chain disruptions," Lee told the meeting."Indicators of banks' soundness remain good at the moment but they need to thoroughly brace for risk factors with a sense of urgency amid the possibility that a crisis could materialize from a protracted period of high interest rates and inflation," he added.Le

Jun 20, 2022
FSS chief urges banks to intensify loss-absorbing capabilities, better manage foreign liquidity
Economy

Korea to cut fuel tax by maximum cap of 37%

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho, right, presides over an emergency meeting of economy-related ministers at Government Complex Seoul, Sunday. YonhapEffectiveness questioned due to soaring energy pricesBy Yi Whan-wooThe government said Sunday it will cut the fuel tax by the maximum legal cap of 37 percent from the current 30 percent, to deal more effectively with mounting inflationary pressure compounded by a steep rise in global energy and commodity prices.Announced during an emergency meeting of economy-related ministers, the expanded tax cut policy will become effective July 1 and will last through December.With the new decision, the fuel tax, currently set at 574 won per liter, will drop by 57 won per liter.The measure comes as the prices of gasoline and diesel have been on an upward trajectory even after the fuel tax cut was raised to 30 percent, up from the previous 20 percent, on May 1.According to Korea's state-run oil price information website, Friday, the average price of gasoline has risen for six consecutive weeks after dropping on th

Jun 19, 2022By Yi Whan-woo
Korea to cut fuel tax by maximum cap of 37%
Economy

Number of bank branches in Korea lower than OECD average

Banks respond to decreasing trend with innovation in branch operation By Anna J. ParkThe number of commercial bank branches in Korea turns out to be lower than the average in the OECD member countries. According to the Financial Services Commission (FSC) on Sunday, the number of commercial bank branches in Korea per 100,000 adults stood at 14.4 in 2020, which is lower than 18.3, the average number per 100,000 adults in the OECD member countries. Specifically, the number is significantly lower than Japan's 33.9 branches per 100,000 adults and the U.S., which has 29.7 branches per 100,000 people. The number of commercial bank branches in Korea compared to the population is similar to the U.K.'s 14.5 and Sweden's 13.8 in 2020. However, when the figure includes other non-banking financial institutions like the Korea Post and mutual finances, the number of banking branches in Korea per 100,000 people rises to 36.4, which is slightly higher than the U.S.' figure of 33 and Japan's figure of 35. The number of local bank branches continued to increase before 2012, yet the trend completely cha

Jun 19, 2022By Anna J. Park
Number of bank branches in Korea lower than OECD average
Economy

Gov't to expand fuel tax cuts amid soaring energy costs

Finance Minister Choo Kyung-ho presides an emergency meeting of relevant ministers to discuss the country's economic situation, held at the Government Complex in Seoul, Sunday. YonhapThe government plans to expand fuel tax cuts in July as part of efforts to ease inflationary pressure from surging energy costs, the finance minister said Sunday.The government will expand tax cuts on fuel consumption to a legal cap of 37 percent from the current 30 percent, according to Finance Minister Choo Kyung-ho. The measure will be effective until the end of this year.Korea is facing mounting inflationary pressure, as the protracted Russia-Ukraine war has jacked up crude oil and commodity prices. Demand-pull price pressure also rose due to the recovery in demand.Consumer prices jumped 5.4 percent year-on-year in May, the fastest rise in almost 14 years and a jump from a 4.8 percent spike in April. (Yonhap)

Jun 19, 2022
Gov't to expand fuel tax cuts amid soaring energy costs
Economy

Survey shows most global CEOs expect recession

Federal Reserve Chairman Jerome Powell's news conference is displayed on televisions while traders work on the floor at the New York Stock Exchange in New York, June 15. The Federal Reserve intensified its drive to tame high inflation by raising its key interest rate by three-quarters of a point ― its largest hike in nearly three decades ― and signaling more large rate increases to come that would raise the risk of another recession. AP-YonhapMost corporate leaders worldwide now expect an economic downturn by the end of next year if not sooner, as rising energy prices and the war in Ukraine increases uncertainty, according to a survey released Friday.The survey showed "more than 60 percent of CEOs and top executives globally say they expect a recession in their primary region of operations within the next 12 to 18 months," The Conference Board said.And 15 percent of the 750 executives, including nearly 450 CEOs, in Asia, Europe and North America, "say their region is already in recession," the survey showed.Concerns about the chances of a recession ― usually defined as two quarters o

Jun 19, 2022
Survey shows most global CEOs expect recession
  • What's next for stock market after Fed's giant step?
Economy

Bitcoin slides below $20,000 to lowest level in 18 months

A representations of cryptocurrency Bitcoin is seen in front of a stock graph and U.S. dollar in this illustration created, Jan. 24. Reuters-YonhapBitcoin tumbled more than 13 percent at one point on Saturday, crashing below the closely watched $20,000 level to its weakest value in 18 months, as it extended a slide on investor worries about growing troubles in the industry and the general pull-back from riskier assets.The digital currency sector has been pummeled this week after cryptocurrency lending company Celsius froze withdrawals and transfers between accounts, while crypto companies started laying off employees. There also were reports that a cryptocurrency hedge fund had run into trouble.The developments have coincided with an equities slide, as U.S. stocks suffered their biggest weekly percentage decline in two years on fears of rising interest rates and the growing likelihood of a recession.The accelerated pace and depth of bitcoin losses in conjunction with the stocks rout could challenge support for the cryptocurrency from a range of investor groups.While some institutions

Jun 19, 2022
Bitcoin slides below $20,000 to lowest level in 18 months
Economy

Gov't considers expanding fuel tax cuts amid surging prices

Stacks of containers are seen at a port in Korea's southeastern city of Busan, June 15. Yonhap The government is considering expanding fuel tax cuts, as part of efforts to ease inflationary pressure that has been building up amid surging energy prices, according to officials at the finance ministry, Saturday.The administration is looking at expanding the tax cuts from the current 30 percent to a legal cap of 37 percent, according to ministry officials. Finance Minister Choo Kyung-ho will preside over an emergency meeting of economy-related ministers, Sunday, when the expansion of the cuts is likely to be confirmed, they said. Inflationary pressure has rapidly built up amid soaring oil and commodity prices, caused by Russia's invasion of Ukraine and the recovery in demand.Korea's consumer prices jumped 5.4 percent yaer-on-year in May, the fastest rise in almost 14 years and a jump from a 4.8 percent spike in April.The average retail price of diesel surpassed 2,100 wo

Jun 18, 2022
Gov't considers expanding fuel tax cuts amid surging prices
Economy

What's next for stock market after Fed's giant step?

Dealers at Hana Bank's headquarters work at its office in Seoul, Friday. Seen behind is an electronic board indicating a fall of 0.43 percent of the KOSPI on the same day. YonhapBy Lee Min-hyungWith the U.S. Fed making a giant rate hike of 75 basis points, market analysts expect the Korean stock market to continue experiencing turbulence until signs of downward inflationary pressure are detectable. “The bottom line is that inflation needs to be tamed for the stock market to continue a relief rally,” Meritz Securities analyst Lee Seung-hoon said.Korean and U.S. stocks bounced back immediately after the Fed shared its strong willingness to stabilize prices, but curbing inflation is most important for stock markets here and abroad to enter a stable recovery path, according to the analyst.Starting this month, the benchmark KOSPI has been on a sharp decline amid growing fears of big rate hikes by the U.S. Fed and the Bank of Korea. The main bourse edged up 0.16 percent on Thursday to close at 2,451.41 on diminished uncertainties over the Fed's rate hikes, but finished down 0.4

Jun 17, 2022By Lee Min-hyung
What's next for stock market after Fed's giant step?
  • Survey shows most global CEOs expect recession
Economy

Yoon says cutting corporate tax could raise competitiveness

President Yoon Suk-yeol answers reporters' questions while reporting for work at his office in Seoul's Yongsan District, June 17. Yonhap President Yoon Suk-yeol said Friday that the government's plan to cut the corporate tax will help companies raise their competitiveness. Yoon made the remarks as he arrived for work, a day after the finance ministry proposed lowering the maximum corporate tax rate from 25 percent to 22 percent, the average rate in countries of the Organization for Economic Cooperation and Development (OECD). If the government lowers the corporate tax rate to the average of the OECD nations, it would "help companies become more competitive and produce various added value," Yoon said. The president has pledged to support economic growth led by the private sector. If the government allows companies to "properly" carry out their business activities, it will eventually lead to economic growth and boost the livelihoods of middle-class and low-income peop

Jun 17, 2022
Yoon says cutting corporate tax could raise competitiveness
previous page
674675676677678
next page

Most Read in Economy