South Korean manufacturers’ confidence fell for the second straight month as slowing economic growth weighed on sentiment.
An index measuring expectations for November fell to 70 from 72 in October, the Bank of Korea said in a statement in Seoul today. A measure of expectations at non-manufacturing companies was unchanged from October at 67, with any number below 100 indicating that pessimists outnumber optimists.
“The Korean economy still faces considerable difficulty in the coming months,” Yoon Eun Hye, an economist at Standard Chartered Plc in Seoul, said before the release. “A rebound is expected in the first quarter of next year.”
South Korea’s gross domestic product expanded 1.6 percent in the third quarter from a year earlier, the slowest pace since 2009. Earnings gains reported last week by Samsung Electronics Co., which has annual sales equivalent to 13 percent of the nation’s GDP, show the prospect for a rebound.
The survey was conducted between Oct. 15 and Oct. 22 with responses from 1,456 manufacturers and 1,066 non-manufacturers.