South Korea September factory output rises, but economic recovery uneven
- Donald Trump Sworn in as 45th U.S. President
- Wall Street ends higher as Trump becomes president
- Walgreens Boots Alliance (WBA) Said to Face Antitrust Concern for Rite Aid (RAD) Fix - Bloomberg
- Bristol-Myers Squibb (BMY) Says It Won't Pursue Accelerated U.S. Regulatory Pathway for Opdivo Plus Yervoy in Lung Cancer
- Apple (AAPL) Sues Qualcomm (QCOM) Over Patent Royalties in Antitrust Case - Bloomberg
Get daily under-the-radar research with StreetInsider.com's Stealth Growth Insider Get your 2-Wk Free Trial here.
By Christine Kim
SEOUL (Reuters) - South Korea's industrial output rose more than expected in September thanks to gains in car and semiconductor production, data showed on Monday, but underlying weaknesses in consumption underscored a fragile recovery in Asia's fourth-largest economy.
Factory output rose a seasonally adjusted 0.3 percent on-month in September, better than the median 0.5 percent fall in a Reuters survey and rebounding from a 2.4 percent decline in August.
The Statistics Korea data showed manufacturing output in cars rose 5.7 percent and semiconductors 4.6 percent from August. Car manufacturing rose in monthly terms as summer strikes at Hyundai Motor Co <005380.KS> eased off September.
Separately, retail sales dropped 4.5 percent last month, its worst fall since February 2011, dented by the discontinued fire-prone Galaxy Note 7 smartphone by Samsung Electronics Co Ltd <005930.KS>.
"Fourth quarter numbers will show a more dismal picture as we are running out of reasons that can boost output before year-end," said Park Jung-woo, an economist at Korea Investment & Securities.
Park said October exports data on Tuesday was more important than the output numbers as consumption was unstable, increasing the economy's reliance on exports.
A finance ministry official told Reuters some of the weaknesses in Monday's data were due to temporary factors and the economy continued to grow, though the recovery remained uneven.
On an annual basis, industrial output fell 2.0 percent in September after a revised 2.2 percent gain in August, It compared to a median 1.5 percent fall tipped in the Reuters survey.
Statistics Korea said service-sector output fell 0.6 percent in September on a seasonally adjusted basis following a revised 0.8 percent rise in August.
(Additional reporting by Dahee Kim; Editing by Shri Navaratnam)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Funeral of major graft probe judge killed in plane crash
- Driver of car in Melbourne attack undergoes surgery
- Eight people killed in their home by shell in Egypt's Rafah
Create E-mail Alert Related CategoriesReuters
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!