By Jihoon Lee
SEOUL (Reuters) -South Korea’s export development slowed to a seven-month low in October, listedbelow market expectations, in a indication that cooling worldwide need and U.S. election unpredictability are weakening the economy.
Exports from Asia’s fourth-largest economy increased 4.6% from a year earlier to $57.52 billion, the tiniest boost giventhat March and a downturn from gains of 7.5% in September, authorities information revealed on Friday.
The increase was listedbelow expectations in a Reuters survey for an boost of 6.9% and likewise revealed exports slowing for the 3rd straight month.
On average per working day, exports were down 0.2% compared with a year earlier, their veryfirst fall because September 2023.
Stephen Lee, chief financialexpert at Meritz Securities, had anticipated exports to obtain some assistance from commercial products inthemiddleof lower interest rates and a healing in the worldwide production sector.
“But it appears the healing is being postponed due to increased unpredictability over the U.S. election and the worldwide financial cycle itself,” Lee stated.
The trade information linesup with a study proving South Korea’s factory activity diminished for a 2nd month in October, with output falling by the most in 16 months.
The trade-reliant economy hardly grew in the 3rd quarter, inspiteof indications of healing in customer costs, as exports deteriorated, which financialexperts stated raised the possibility for more stimulus from the federalgovernment to assistance development.
Trade Minister Ahn Duk-geun sai