Businesses Remain Pessimistic Despite Year-End Sales Boost

Business sentiment among companies improved slightly this month but still remained on the gloomy side.

The Bank of Korea said on Thursday that the business survey index came in at 74 for manufacturers, edging up one point on-month, and 75 for non-manufacturers, up two points.

Any figure below 100 means pessimists outnumber optimists.

Electronics and display manufacturers were more optimistic than others thanks to an increase in semiconductor sales. Sentiment among chemical companies worsened, however, due to falling product prices. Wholesalers and retailers saw sales jump on the back of the year-end shopping season.

The outlook for December was 73 for all industries, with more manufacturers concerned about sluggish consumption and exports.