(2nd LD) S. Korea vigilant against market volatility from Evergrande woes

(ATTN: RECASTS headline, lead; UPDATES with market close, details throughout)

SEOUL, Sept. 23 (Yonhap) — South Korea plans to closely monitor financial markets as China Evergrande Group’s debt problems could increase market volatility, a senior government official said Thursday.

Global financial markets were rattled this week due to concerns that a potential default by the debt-ridden property developer China Evergrande Group may send shock waves across the Chinese financial system, which could wreak havoc on the global market.

Such woes eased after the group said Wednesday it has agreed to a deal with local bondholders to settle interest payments, but fears about its debt issue still linger.

(2nd LD) S. Korea vigilant against market volatility from Evergrande woes

South Korea’s benchmark index, the KOSPI, trimmed earlier losses to fall 12.93 points, or 0.41 percent, Thursday after a three-day market close over the fall harvest Chuseok holiday.

The Korean currency closed at 1,175.50 won per U.S. dollar, down 0.5 won from the previous session.

First Vice Finance Minister Lee Eog-weon said the government will keep close tabs on market risk factors from emerging markets.

“Market uneasiness from factors like China Evergrande could abruptly arise in the process of major economies’ adjustment of (accommodative) monetary policy and deleveraging,” Lee said at a government meeting on macroeconomics and financial markets.

Separately, Bank of Korea (BOK) Vice Gov. Lee Seung-heon said the Evergrande crisis has raised broader market fears. However, Lee said there is a consensus that a collapse of the Chinese debt-laden property developer may not freeze global financial markets.

Korean policymakers also said market volatility could heighten, depending on the pace of the Federal Reserve’s tapering of its bond-buying program.

After a two-day policy meeting, the Fed said Wednesday (local time) it is likely to start to taper its asset purchases soon and signaled it may hike the key rate as early as next year. The outcome was largely in line with market expectations.

“If U.S. job recovery delays beyond the Fed’s expectations or inflation remains high longer than expected, uncertainty about the timing of a rate hike could sharply increase,” Lee said.

The BOK vice governor also noted that there is a possibility that the Fed may speed up the normalization of its monetary policy.

sooyeon@yna.co.kr
(END)

Internet Explorer Channel Network
News Related

OTHER NEWS

Russian Arctic zone may grow into new energy generation center — senator

The Arctic regions may develop into centers to produce and export hydrogen energy and new types of fuel, Konstantin Dolgov said Read more »

Analysts list Arctic cities liable for state support

According to the expert, absolute leaders in terms of functions are Arkhangelsk, Murmansk, Nadym, Naryan-Mar, Norilsk, Noyabrsk, Novy Urengoi and Tarko-Sale Read more »

Aluminum up over $3,200/tonne on London Metal Exchange first time since July 2008

According to analysts, the rise in the cost of aluminum is caused by a shortage of thermal coal in China and a general increase in energy prices Read more »

Amazon seeks to invest in SK Telecom spun-off unit, SK Square

Amazon is in negotiations with South Korea's SK Telecom Co. to invest in the mobile carrier's non-telecom operations unit SK Square, a to be hived off next month. Amazon, the ... Read more »

Russian official does not exclude spot sales restart by Gazprom in November-December

The company is now selling gas on its platform only with delivery in the third quarter of 2022 and in 2023 Read more »

Russian crude production to total 9.8 mln barrels per day in October, Novak specifies

Russian Deputy Prime Minister said earlier that Russia might produce more than 522 mln tonnes of oil and gas condensate in 2021 Read more »

China's first smart oil platform starts operations — TV

The platform is located in the Bohai Sea and fitted with a smart safety system using artificial intelligence technology Read more »

Brent oil price on the ICE exchange up over $ 85/barrel

The cost of a WTI crude oil futures also rose to $ 81.36 per barrel Read more »

(2nd LD) BOK continues to normalize monetary policy to ease 'financial imbalances'

(ATTN: UPDATES with more remarks in paras 12-15; ADDS photo) SEOUL, Oct. 15 (Yonhap) — The Bank of Korea will continue adjusting its accommodative monetary policy and determine the timing ... Read more »

Daewoo Shipbuilding wins 640.8 bln won order for 4 container carriers

By Nam Kwang-sik SEOUL, Oct. 15 (Yonhap) — Daewoo Shipbuilding & Marine Engineering Co. (DSME) said Friday that it has signed a 640.8 billion won (US$542 million) deal to build ... Read more »

India has faced COVID-19 crisis with resilience and fortitude: Nirmala Sitharaman

Finance Minister Nirmala Sitaraman. India has not only faced the COVID-19 crisis with great resilience and fortitude but has also played a major role and “walked the talk” on the ... Read more »

Israeli companies getting increasingly interested in Russian market — Lavrov

Despite the aftermath of the coronavirus pandemic, trade between Russia and Israel declined by a modest 3.9% in 2020, while in January-July of this year it grew by 51.8% year-on-year, the minister stressed Read more »

Korea faces continued economic uncertainty: finance ministry

This Oct. 8 file photo shows closed stores in the shopping district of Myeongdong in downtown Seoul amid the COVID-19 pandemic. Yonhap The South Korean economy is facing continued uncertainty ... Read more »

Metals head for record, zinc spikes as energy crisis hits supply

LONDON (BLOOMBERG) – Base metals soared, led by zinc’s surge to its highest price since 2007 after European smelters became the latest casualties in a global energy crisis that’s knocking ... Read more »

'Unleash American shale' to end energy crisis, gas driller says

NEW YORK (BLOOMBERG) – The largest U.S. natural gas driller is using the global energy crisis to renew its call for more investment in domestic infrastructure such as pipelines, which ... Read more »

Aluminum makers sould alarm about US magnesium shortage

NEW YORK (BLOOMBERG) – There’s a widening scarcity of essential raw materials for aluminum used to make automobiles and building supplies that threatens to worsen a supply squeeze that already ... Read more »

Petrol, diesel prices on October 15: Fuel rates at record highs after fresh hike

Representative Image Petrol, diesel prices were hiked for the second straight day across metros on October 15, according to a price notification of state-owned fuel retailers. With the latest hike, ... Read more »

(LEAD) BOK continues to normalize monetary policy to ease 'financial imbalances'

(ATTN: ADDS more comments in paras 9-11; REPLACES photo) SEOUL, Oct. 15 (Yonhap) — The Bank of Korea will continue adjusting its accommodative monetary policy and determine the timing of ... Read more »

(LEAD) S. Korea faces continued economic uncertainty: finance ministry

(ATTN: UPDATES with more details in paras 2, 13-16; ADDS photo)By Kim Soo-yeon SEOUL, Oct. 15 (Yonhap) — The South Korean economy is facing continued uncertainty as slumps in person-to-person ... Read more »

S. Korea's finance chief voices concerns over U.S. info-sharing request for chipmakers

WASHINGTON, Oct. 14 (Yonhap) — South Korea’s finance minister on Thursday voiced concerns about the U.S.’s request for Korean chipmakers to share information on their supply chains. Finance Minister Hong ... Read more »

NH All One REIT pushing for stock market listing in Nov.

SEOUL, Oct. 15 (Yonhap) — The real estate investment trust (REIT) unit of major bank holding firm NH Financial Group Inc. said Friday it is seeking to get listed on ... Read more »

BOK continues to normalize monetary policy to ease 'financial imbalances'

SEOUL, Oct. 15 (Yonhap) — The Bank of Korea will continue adjusting its accommodative monetary policy and determine the timing of another rate hike in a way that could ease ... Read more »

(Yonhap Feature) Craft beer market sees big growth potential in S. Korea

By Choi Kyong-ae SEOUL, Oct. 15 (Yonhap) — Beer has long been a key ingredient of mixed drinks in South Korea, but changing appetites and the extended coronavirus pandemic have ... Read more »

United Aircraft Corporation ready to build Be-200 squadron to put of fires world over

According to the corporation, it expands the batch production with a glance to the current and future orders Read more »

User reports indicate problems with Instagram in some countries

Most complaints come from the US, Germany, the UK and the Netherlands Read more »

Oil market volatility remains low - Russian deputy prime minister

This volatility that we are witnessing in the gas market is not possible in the oil market, Alexander Novak said Read more »

Russia to overfulfill contractual obligations for gas transit through Ukraine in 2021

The contract includes the transit of 65 bln cubic meters of gas in 2020 and 40 bln cubic meters annually from 2021 to 2024 Read more »

Asia grabbing more European fuel oil to ease energy crisis

LONDON (BLOOMBERG) – Asia is taking more fuel oil from Europe to help deal with the energy crisis, according to a company that manages hundreds of ocean-going tankers. There’s been ... Read more »

Starbucks Korea sets restrictions on the number of purchases for Halloween goods

Many consumers began purchasing the Halloween specials early in the morning, causing items with buying restrictions to run out rapidly. Starbucks Korea stores have set restrictions on how many of ... Read more »

Saudi Arabia proposes Russia to consider gas market cooperation — Novak

Saudi Arabian Energy Minister Prince Abdulaziz bin Salman Al Saud and the Russian Deputy Prime Minister Alexander Novak discussed this issue at the bilateral meeting Read more »

Hungary in talks with Russia on technology transfer to produce Sputnik V vaccine

"Today we are discussing what preparations are needed and what timetable is possible for our National Vaccine Plant, which is currently under construction, to receive the technology required for the production of Sputnik," Hungarian Foreign Minister Peter Szijjarto noted Read more »

Russia needs to restructure all industries to reach carbon neutrality — envoy

According to Anatoly Chubais, the climate sphere should be completely excluded from any restrictions Read more »

Transition to carbon neutrality will allow Russia to master other industries — envoy

"We have an absolutely unique opportunity to offer the world, the global investment community, the business community, completely new types of projects that will be implemented in Russia much more efficiently than anywhere else," Anatoly Chubais pointed out Read more »

Novak lambasts EU's ‘counting-on-a-miracle' gas policy line that sparked energy crisis

The Moscow-hosted Russian Energy Week International Forum is being held on October 13-15 Read more »

Russia to multiply cargo traffic along Northern Sea Route — Putin

"We intend to increase freight traffic along the Northern Sea Route many times over its entire length of 10,500 kilometres, build infrastructure facilities, including those that ensure reliable communications and navigation, and improve port facilities" the Russian President noted Read more »

Kamchatka intends to abandon profitable projects in favor of environment

"We believe it is important to reject them absolutely when the environmental harm caused by them is greater than the benefits,” Governor of Kamchatka Krai Vladimir Solodov noted Read more »

Tighter Singdollar policy helps offset rising costs for local consumers

SINGAPORE – The move by the central bank to tighten monetary policy is a “macro” decision that will have practical effects on the price of goods for a typical Singaporean. ... Read more »

Putin recognizes development of integration in EAEU

The Russian leader noted that "such an important joint project as the Strategic Directions for the Development of Economic Integration until 2025 was being successfully implemented Read more »

Putin proposes to unify standards in carbon reporting within EAEU

The Russian president pointed out that a draft joint statement on cooperation in the environmental sphere had been prepared Read more »

US unemployment claims fall to lowest level since pandemic

AP The number of Americans applying for unemployment benefits fell to its lowest level since the pandemic began, a sign the job market is still improving even as hiring has ... Read more »