Grave business - my financial world

South Korea’s exports rose for a fourth month in February as a pickup in the world economy spurred demand for the nation’s semiconductors, cars and flat- panel displays.

Overseasshipments increased 31 percent from a year earlier to $33.3 billion, the Ministry of Knowledge Economy said in Gwacheon today. The median estimate in a Bloomberg News survey of 11 economists was for a 25 percent gain. Imports climbed 36.9 percent to $30.9 billion, for a trade surplus of $2.3 billion.

Rising exports signal the economy’s slowdown in the fourth quarter, when it expanded just 0.2 percent, may prove temporary. Samsung Electronics Co., the world’s second-largest mobile-phone maker, said its handset shipments may expand about a fifth this year, helped by demand for smartphones.

“South Korean exports are benefitting from rising demand from China and other countries,” said Kim Seung Hyun, head of research at Taurus Investment & Securities Co. in Seoul. “The base effect is also spurring a big increase in shipments.”

South Korea’s exports declined from November 2008 to October 2009 as the global financial crisis cut demand, providing a low base for comparison. Economic growth in China, the biggest buyer of South Korean products, rose 10.7 percent in the fourth quarter, the fastest pace since 2007.

Financial markets are closed for a public holiday in South Korea today quick payday loan. The benchmark Kospi stock index has declined 5.2 percent this year after advancing 50 percent in 2009.

Exports to China

Exports to China rose 38 percent in the first 20 days of February, today’s report showed. Shipments to the U.S. climbed 14 percent and those to Japan gained 20 percent over the same period. Imports increased mainly on rising crude-oil prices and more demand for fuel amid the economic recovery, the ministry said.

Shipments of semiconductors more than doubled last month, and display-panel exports increased 60 percent, the government said. Petrochemicals exports gained 51.6 percent.

President Lee Myung Bak said Dec. 30 the economy is likely to expand more than 5 percent in 2010, the fastest pace in three years. Hanjin Shipping Co., South Korea’s largest container-box carrier, expects to post a profit this year and boost sales 27 percent as world trade picks up.

Exports will increase 13.2 percent this year, compared with a 13.9 percent decline in 2009, the government forecast in December. The Knowledge Economy Ministry estimated last month that the nation is likely to post an annual trade surplus of $20 billion.

Source