Forum Views ()
Forum Replies ()
Read more with google mobile :
WRAPUP 1-S.Korea data points to recovery and rate rise
Yahoo!
My Yahoo!
Mail
More Yahoo! Services
Account Options
New User? Sign Up
Sign In
Help
Yahoo! Search
web search
Home
Singapore
Asia Pacific
World
Business
Entertainment
Sports
Technology
Singapore
Asia Pacific
World
WRAPUP 1-S.Korea data points to recovery and rate rise
Reuters - Thursday, November 12
Send
IM Story
Print
* Sept money supply growth hits 6-mth high
* Oct mortgage lending to households rebounds
* Oct jobless rate at 9-mth low
* Support case for c.bank rate rise in Q1 2009
By Seo Eun-kyung and Cheon Jong-woo
SEOUL, Nov 11 - Fresh signs an economic recovery is taking hold in South Korea, including a rebound in mortgage lending and a fall in the jobless rate, cemented expectations the central bank will raise rates in the first quarter of next year.
Analysts said the data would not prompt the central bank to raise its record low policy rate of 2.0 percent at a review on Thursday, but did show that it would have to do so in the months ahead.
"The BOK will not increase rates tomorrow as it should consider the government's stance. But looking at data, it is right to raise rates," said Park Sang-hyun, chief economist at HI Investment & Securities.
"If the BOK does not raise rates in the first quarter of the next year, the economy may face trouble such as inflation and an asset price bubble," he said.
Money supply grew in September at its fastest annual pace in six months, while mortgage lending to households by banks in October rebounded, central bank data showed on Wednesday. [ID:nSEO332945]
The jobless rate in October fell to a nine-month low and jobs increased over a year earlier for the third month in a row, separate government data showed. [ID:nSEL002741]
As the economic data did not change rate expectations, December treasury bond futures <.KTBc1> were steady after the figures.
A Reuters poll this week showed the central bank was almost certain to keep rates on hold on Thursday, but would raise it at least by 25 basis points by the end of March. [ID:nSEO250236]
In recent months, market had been pricing in a rate rise as soon as this month after the central bank raised alarm bells about fast rising house prices.
But it toned down its hawkish rhetoric after President Lee Myung-bak and top government officials repeatedly urged the central bank to be extremely cautious about withdrawing from its super-loose policies until signs of a sustained economic recovery were clearer.
"Data wise, a rate hike seems possible at any time. But the central bank should consider the government position and global steps on exit," said Yang Jin-mo, a fixed-income analyst at SK Securities.
Some analysts say that South Korea is also reluctant to break ranks with its fellow members of the Group of 20.
This month, G20 policymakers pledged to keep emergency support for their economies in place until recovery was assured and Asia-Pacific ministers warned that the global crisis was far from over. [ID:nLQ516726] [ID:nSP423373]
MONEY SUPPLY GROWTH HITS 6-MTH HIGH
The data showed that L-money supply, the broadest measures, rose a provisional 10.3 percent in September from a year earlier, the biggest gain since March and up from a revised 8.9 percent rise in August.
Analysts said September's growth was partly a response to a low year-earlier base when liquidity tightened owing to the global credit crunch. Annual growth could well accelerate in the months ahead for the same reason.
Bank mortgage lending to households in October rebounded from a slight fall in September amid tight government loan control measures.
Household mortgage loans rose by 1.4 trillion won in October from the previous month to 261.6 trillion won, compared with a 0.4 trillion won drop in September, which was the first decline in more than two years.
But the October rise was far smaller than during the middle of 2009 when mortgage lending jumped 3 trillion won to 4 trillion won per month suggesting some easing in the property rush.
Overall lending to households gained by 1.4 trillion won in October from the prior month to 405.6 trillion won after falling 1.0 trillion won in September.
The government has stepped up loan regulations since July as record-low interest rates fuelled a property boom.
Recommend
Send
IM Story
Print
Related Articles
Ex-Lockheed engineer claims F-22 skin 'defective' AP - 1 hour 3 minutes ago
Macy's posts smaller 3Q loss, raises outlook AP - 1 hour 6 minutes ago
2 former NH Circuit City properties sold AP - 1 hour 9 minutes ago
Businesses fear Europe recovery will remain timid AP - 1 hour 10 minutes ago
Smithfield upgraded as market improves AP - 1 hour 16 minutes ago
News Search
Top Stories
Lack of health care killed 2,266 US veterans last year: study
Europe sets down firm deficit deadlines
UN targets undernourishment as infant killer
Strength of British recovery 'highly uncertain'
New dinosaur discovered in S. Africa
More Top Stories »
ADVERTISEMENT
Most Popular
Most Viewed
Most Recommended
Antarctica's ice loss helps offset global warming: study
Mixed figures on China's economy
Maclaren buggies recalled in US over 'lost fingers'
Goldman Sachs chief defends pay policies
Emerging markets to spearhead recovery: HSBC
More Most Viewed »
Somali centenarian weds 17-year-old
Fibre may keep asthma, diabetes at bay, study finds
More Most Recommended »
Elsewhere on Yahoo!
Financial news on Yahoo! Finance
Stars and latest movies
Best travel destinations
More on Yahoo! News
Home
Singapore
Asia Pacific
World
Business
Entertainment
Sports
Technology
Subscribe to our news feeds
Top StoriesMy Yahoo!RSS
» More news feeds | What are news feeds?
Also on Yahoo
Answers
Groups
Mail
Messenger
Mobile
Travel
Finance
Movies
Sports
Games
» All Yahoo! Services
Site Highlights
Singapore
Full Coverage
Most Popular
Asia Entertainment
Photos
Copyright © 2009 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved.
Terms of Service |
Privacy Policy |
Community |
Intellectual Property Rights Policy |
Help
Other News on Thursday, 12 November 2009 The nation's weather
Detentions set to dominate Russia, Georgia talks
Abbas resists U.S. pressure to resume peace talks
| International
|
David Letterman's Alleged Blackmailer Wants Case Dismissed
Ahmadinejad suggests Iran role in atom fuel bank
| International
|
NATO expects more resources for Afghan training
| International
|
Clinton: US envoy's trip to North Korea still on
Court Rules Joe Jackson Has No Claim to Michael's Estate
Who knew of Fort Hood suspect's radical contacts?
Blackout raises doubts over Brazil infrastructure
| International
|
Merkel back to work after Berlin Wall party
AP-GfK Poll: A grouchy public sticking with Obama
Pakistanis pay high price for anti-militant drive
| International
|
Ronnie Wood And Jo Wood Granted Quickie Divorce
THE INFLUENCE GAME: Bishops shape health care bill
Karadzic seeking appeal to remove appointed counsel
| International
|
Number of wounded troops in Afghanistan increasing
Simon Cowell Tops Best Paid Primetime Men On TV List
US crop estimates may ease fears about wet harvest
Palestinian cave-dweller fights Israeli eviction
| International
|
Oprah Winfrey Settles "Aha Moments" Suit With Insurance Company
Peter Andre Awarded Libel Damages From Tabloid
Report: Blackwater OK'd $1M plan to pay off Iraqis
"Twilight" Leads People's Choice Awards Nods List
Somali pirates hijack two more ships
| International
|
Cypriots guarded over British land offer
| International
|
Merkel, Sarkozy in first joint Armistice ceremony
| International
|
First ethnic groups agree to join Myanmar guards
Ft. Hood probe spotlights Web-savvy preacher
| Technology
|
Iranian accused of smuggling drugs on fake leg
Taiwan: No quid pro quo for lifting US beef ban
Nokia launches 3 phones for the CDMA standard
| Technology
|
Clinton: No conditions on Myanmar for better ties
Wal-Mart offers $100 gift card on BlackBerry purchases
| Technology
|
Foreign aid worker held in death of Afghan boy
China mining co. accused of damaging Great Wall
Logitech buys LifeSize Comms for $405 million
| Technology
|
Missing US soldier's body found in Afghan river
Eager fans greet Call of Duty launch
| Technology
|
Clinton says Korea naval fight won't deter U.S. envoy
Ninja Assassin star Rain trained for eight months to achieve zero body fat
World Bank warns unemployment threatens US economy
Geithner glad Japan is focusing on domestic demand
Saudi Arabia grants Pakistan $380 million loan
Asia faces new risks of overheating: Zoellick
WRAPUP 1-S.Korea data points to recovery and rate rise
China signs deals, eyes Malaysia's palm oil, timber
Sesame Street celebrates 40 years
Britney breaks silence on Aussie lip-synch row
DEALTALK-State assets could be a tough sell for S.Korea
US-ENTERTAINMENT Summary
"Lopez Tonight" debuts with strong ratings
Judge dismisses Jackson father estate bid
Ssangyong staff accused of technology leaks
Rolling Stone Ronnie Wood gets quickie divorce
| Entertainment
|
Judge names pair of executors for Jackson estate
Rising inflation threat seen in South Asia
Simon Cowell is top earning man on U.S. TV
| Entertainment
|
Judge names pair of executors for Jackson estate
| Entertainment
|
Rapper violates order, faces more prison time
Pablo Escobar's son apologizes in film about drug lord's crimes
| Entertainment
|
New George Lopez talk show overplays race angle
Indonesian police deny framing anti-graft chief
Twilight leads People's Choice nominations
| Entertainment
|
Judge revives Warren Beatty's Dick Tracy lawsuit
| Entertainment
|
Eight Eastern Europeans Charged In "Sophisticated" $9 Million ATM Thefts
Canadian Man Turns Last $10 Into $50 Million With Lotto Win
Brazil Darkened For Hours By Massive Power Failure
Ex-Astronaut In Love Triangle Gets 2-Day Sentence For Burglary, Battery
Hebrew University Debuts Lecture Series To Be Offered On Train During Morning Commute
Israeli Rabbi's Guide On The Killing Of Gentiles Causes Firestorm
Deputies In Florida Home Invasion Find Deer Is Culprit
Bottle Of Beer From Burned Hindenburg Zeppelin The Most Expensive At $8,337
Dinosaur Skull Among Nicolas Cage's Over-The-Top Purchases
Canadian Teen Survives On Ice Floe In Arctic Sea Trapped With Polar Bears
Libya repatriates hundreds of rebels to Niger: report
| International
|
Motorola eyes $4.5 billion home/networks unit sale: sources
| Technology
|
Britons among the ugliest people, dating site says
| Technology
|
Tyler, onstage with Perry, says not leaving Aerosmith
| Entertainment
|
Obama warns Afghan commitment not 'open-ended'
Israel hints at Syria opening after Sarkozy meet
Colombia takes Chavez war talk to Security Council
| International
|
Medvedev to set out economic reforms in speech
Churchill Downs buying YouBet.com
Brazil: Ties with Iran important to Mideast peace
Kidnapped Irish priest free, in good health: military
Microsoft's Bing teams up with WolframAlpha
Detentions raised in 'difficult' Russia, Georgia talks
Israel displays coins from ancient Jewish revolt
NATO expects more resources for Afghan training
| International
|
US salutes 'Mighty Mouse' who ended Fort Hood massacre
New invention addresses lithium battery fires
Spain calls for blockade of Somali pirate ports
Iran open to idea of world nuclear fuel bank
North Korea warns South it will pay for clash
| International
|
Al Gore's Current Media cuts 80 jobs
US takes brown pelican off endangered species list
Lack of health care killed 2,266 US veterans last year: study
Kidnapped Irish priest freed in Philippines
| International
|
HP to buy 3Com for 2.7 billion dollars
Europe sets down firm deficit deadlines
U.S. keeps pressure on Abbas after Netanyahu visit
AMD expects key business to turn profit in 2010
Strength of British recovery 'highly uncertain'
Is Africa selling out its farmers?
| International
|
Yemen rejects Iranian 'interference'
Google routes World Bank data to fact seekers
UN targets undernourishment as infant killer
India's food dilemma: high prices or shortages
| International
|
Britons among the "ugliest people", dating site says
EU to choose first president on Nov 19
Iraq PM warns of threat in run-up to January vote
Japan emperor says history vital as past haunts Asia
| International
|
Logitech buys LifeSize Comms for $405 million
Landmine 'kills eight Pakistani troops'
Iran sentences vote detainee to jail and lashes
New dinosaur discovered in S. Africa
Nokia launches 3 phones for the CDMA standard
World remembers sacrifice of WWI lost generation
ING switches into profit with restructuring
US-TECH Summary
Merkel in Paris to honour WWI dead
Nokia launches 3 phones for the CDMA standard
Pioneering cardiologist William Ganz dies in LA
Fort Hood probe spotlights Web-savvy preacher
| Technology
|
AP source: US envoy objects to troop increase
New invention addresses lithium battery fires
| Technology
|
Ga. officers: Pilot tried to hit them with plane
Teen may be victim of 1970s Houston serial killer
AMD expects key business to be profitable in 2010
| Technology
|
Mrs. Obama says veterans' skills can help at home
Obama pushes for changes in Afghan strategy options
Maoists block Nepalese government's main offices
North Korea threatens South over naval clash
Relentless rains lead Va. gov to declare emergency
Freed priest says Filipino captors wanted money
Families of missing seek closure in Timor massacre
Woman attacked by chimp reveals face on 'Oprah'
Obama set to launch debut Asia mission
Shooting suspect's superiors questioned behavior
Police say Mike Tyson involved in LAX incident
N.Korea: S.Korean military will pay for sea clash
NKorea says SKorea faces consequences over clash
French envoy meets North Korea's No. 2 leader
Australia in for 'long haul', says country's PM
Fugitive ex-Thai PM set to give Cambodian lecture
Asian markets slip as rally peters out
APEC ministers plot ways to sustain recovery
Peru's Garcia: free trade deal with S.Korea near
S.Korea freezes key interest rate for 9th month
S.Korea reschedules rush hour for annual exam ritual
Seoul shares edge higher, unmoved by rate decision
"G.I. Joe" shows muscle at top of video charts
List of winners at the 43rd Annual CMA Awards
Warhol's '200 One Dollar Bills' go for $43.8 mln
S.Korea spotted buying dlr to curb won's rise
Britney Spears tells critics read my lips: it's for fans
| Entertainment
|
Classic rockers upgraded to key pop chart
APEC eco ministers talk plans to sustain recovery
Host Lou Dobbs leaves CNN for 'new opportunities'
Lou Dobbs leaving CNN, does not reveal plans
| Entertainment
|
S.Korea c.bank holds rates for 9th month
Conductor Slatkin to skip November DSO concerts
Mike Tyson arrested after L.A. airport scuffle
| Entertainment
|
S.Korean bond futures edge down ahead of rate vote
Harrelson vs. Harrelson at weekend box office
| Entertainment
|
Seoul shares up, test 1,600 ahead of rate meeting
Controversial CNN anchor Lou Dobbs quits
Ian McKellen takes act to film, TV -- and gay rights
| Entertainment
|
Harrelson vs. Harrelson at weekend box office
Record 20 animated films vie for Oscar
| Entertainment
|
Record 20 animated films vie for Oscar
Classic rockers upgraded to key pop chart
| Entertainment
|
G.I. Joe shows muscle at top of video charts
| Entertainment
|
Man Appeals $400 Billion Copyright Suit Against Bon Jovi
Scientific Evidence Sheds Light On "Chocolate Cure" For Stress
Xbox Players Of Pirated Games Banned
Man Assaults Employee With Backhoe
Academics hope history in video games spurs interest
Israel open to Syria peace talks
Abbas to accept Palestinian election delay: officials
| International
|
Jewish-American charged with killing Palestinians
Medvedev warns Russia opposition not to rock boat
| International
|
Iran calls on Russia to fulfil missile sales deal
Food summit to make little headway in war on hunger
| International
|
Iraq warns of more violence before elections
| International
|
Jewish settler charged with murdering Palestinians
Pakistan police hold 7 planning attacks in Karachi
| International
|
Iran calls on Russia to fulfill missile sales deal
| International
|
Thai crisis deepens as Thaksin finds Cambodian base
| International
|
Israel hints at Syria opening after Sarkozy meet
Israel open to Syria talks as Palestinians balk
| International
|
Analysis: US low on options in Afghanistan
Probe 'queries' shooting of ex-Taiwan president
China extends investigation of Rio Tinto employees
Group decries China's "black jails"
4-year-old RI boy's wheelchair stolen
Obama said to want revised Afghanistan options
North Korea threatens South over naval clash
Christmas tree going up in NY's Rockefeller Center
Intel to pay AMD $1.25 billion, settle all disputes
| Technology
|
Report: Dozens of China journalists beaten, sued
Remains of 10th person ID'd from Cleveland house
Activision says Call of Duty sets launch record
| Technology
|
Major Asian cities face climate disaster: WWF
Clinton urges Myanmar to free Suu Kyi
HP to buy 3Com for $3.1 billion
| Technology
|
3 kids die in school cafeteria collapse in China
US-Russia nuclear talks hit snag: report
Stuck Mars rover to begin moving
Afghan militants attack SKorean firm 3 times
Academics hope history in video games spurs interest
| Technology
|
US father, sons charged with ritual child sex abuse
Qualcomm announces multi-mode high-speed chips
| Technology
|
BMW to invest $735 million in China joint venture
SKorea, Peru seek to conclude free-trade deal
Motorola eyes $4.5 billion home/networks unit sale: sources
| Technology
|
China hints at yuan rise ahead of Obama's visit
Cell phone market fall ended in Q3: Gartner
| Technology
|
APEC ministers reject early end to stimulus
In Taiwan, baseball is the favourite game
BMW, Chinese partner to invest in expansion
High oil demand, price rise a threat: IEA
Visiting doctor heals children deaf from Gaza wars
AB InBev reports $1.5 billion quarterly net profit
Powerless Danish government calls for help on gang war
S.Korea's Hyosung group drops bid for Hynix
Peru slum goes cutting edge as 'fog catcher'
China's Zhang Yimou to release black comedy: report
Japanese wholesale prices down for 10th month
Modernity casts spell over magic tattoos in Cambodia
Britney Spears tells critics read my lips: it's for fans
China seeks 'fair' climate deal
Greece at new risk of being pushed off euro
Bodies of missing Tenn. mom, Jo Ann Bain, and daughter found
Female Breasts Are Bigger Than Ever
AMD Trinity Accelerated Processing Units Now in Volume Production
The Avengers (2012 film), made the second biggest opening- and single-day gross of all-time
AMD to Start Production of piledriver
Ivy Bridge Quad-Core, Four-Thread Desktop CPUs
Islamists Protest Lady Gaga's Concert in Indonesia
Japan Successfully Broadcasts an 8K Signal Over the Air
ECB boosts loans to 1 trillion Euro to stop credit crunch
Egypt : Mohammed Morsi won with 52 percent
What do you call 100,000 Frenchmen with their hands up
AMD Launches AMD Embedded R-Series APU Platform
Fed Should not Ignore Emerging Market Crisis
Fed casts shadow over India, emerging markets
Why are Chinese tourists so rude? A few insights