Korea’s trade balance posted a surplus for the second consecutive month thanks to a sharp drop in imports, mainly energy imports. Although Korea’s switch to a trade surplus has been accelerated, a rebound in exports, which have continued to decline, remains a challenge for Corporate Korea.According
After two decades since the establishment of diplomatic relations in 1992, China is likely to be knocked out from its role as the largest trading partner of the South Korean economy. The void left by China is quickly being filled by Korea’s ally, the United States.South Korea’s current account surpl
Continuing their struggle, both Samsung Electronics and SK hynix faced losses in the second quarter, following their challenging performance in the first quarter. The cumulative deficit for both companies in the first half of this year reached a substantial figure, nearly approaching 15 trillion won
The author is an analyst for NH Investment & Securities. He can be reached at sw.kang@nhqv.com -- Ed.The Fed’s June pause was a move to slow hikes down to 12.5bp. A July FOMC rate hike seems inevitable. However, the July hike may be the last given the steep decline in core service prices and shrinki
The author is an analyst for Shinhan Securities. She can be reached at hpark@shinhan.com -- Ed.2Q23 earnings to miss expectationsLG H&H is expected to have registered consolidated operating profit of KRW183.6bn (-15% YoY) on sales of KRW1.78tr (-5% YoY) in 2Q23, coming short of our estimates. Sales
The author is an analyst for Shinhan Securities. She can be reached at inhae.ji@shinhan.com -- Ed.Rapid recovery in inbound traffic from countries other than ChinaAccording to monthly traffic data released on June 29, inbound travelers recorded around 870,000 people in May. Amid upbeat expectations
The author is an analyst for Shinhan Securities. He can be reached at kw.eun@shinhan.com -- Ed.2Q23 earnings previewKB Financial Group is expected to post net profit of controlling interest of KRW1.33tr for 2Q23, meeting the market consensus. Margins are likely to come in strong as in the previous q
The author is an analyst for NH Investment & Securities. She can be reached at jiyoony@nhqv.com -- Ed.Earnings at AmorePacific are likely to fall well short of expectations in 2Q23. Domestic profit has narrowed due to sluggish DFS and e-commerce channels. Overseas, Sulwhasoo is experiencing losses d
The author is an analyst for NH Investment & Securities. He can be reached at sw.kang@nhqv.com -- Ed.Ahead of the announcement of 2H23 economic policy direction, the media has reported that policy focus will shift from prices to the economy. The government's demand for lower instant noodle price
Korean secondary batteries for electric vehicles are expanding overseas with flying colors. However, Korea’s trade balance in secondary batteries has turned into a deficit due to the increasing number of reverse imports of Korean secondary batteries from overseas.On June 22, the Korea International
The author is an analyst for NH Investment & Securities. She can be reached at yd.yoon@nhqv.com -- Ed.Financial authorities' guidance regarding real estate PF and CFD crisis situations is starting to be reflected in KIH’s earnings. Amid continued industry uncertainties, provisioning looks inevit
The author is an analyst for NH Investment & Securities. He can be reached at sw.kang@nhqv.com -- Ed.Following revision of the price basket housing component to a new contractual basis, core inflation has plummeted. The culprit behind core inflation rigidity has now gradually come to be seen as bein
Once recognized as a profitable commodity, secondary batteries recorded their first-ever trade deficit this year.The deficit can be attributed to the Korean battery industry’s expanded overseas investment in response to new trade environments like the U.S. Inflation Reduction Act (IRA) and the sharp
LG Chem announced on May 18 that it signed a contract to supply reverse osmosis membranes for a large-scale seawater desalination project in Israel. The company has been selected as the sole supplier of reverse osmosis membranes for the Ashdod Desalination Project in Israel. Ashdod Seawater Desalina
The author is an analyst for NH Investment & Securities. He can be reached at sw.kang@nhqv.com -- Ed.Amid tightening bank credit conditions, 1) core services inflation, excluding housing, came in below market expectations; and 2) housing inflation peaked out at a 21-month high. April retail sales co
New ship orders are plummeting around the world. Korean shipbuilders with their saturated shipyard docks have been unable to keep up with reduced demand and have faltered on taking new orders. Instead, reflective benefits went to Chinese shipbuilders.Clarkson Research, a U.K.-based shipbuilding and
On April 23, Hyundai Mobis released a video showing various driving modes of the IONIQ 5 powered by the e-Corner System on a road at the Hyundai Mobis Seosan Driving Test Center and on nearby public roads as well.In the video, an e-Corner System demonstration car runs on a test road and general road
The author is an analyst of NH Investment & Securities. He can be reached at hwdoh@nhqv.com -- Ed.SK Hynix’s earnings slump is expected to continue through 2Q23 due to deteriorating memory market conditions. From 3Q23, however, a rebound in memory supply/demand should begin in earnest, spurred by in
LG Chem announced on March 22 that it has supplied about 10,000 reverse osmosis (RO) filters to the Guoan Lithium Extraction Project of China’s CITIC Group.CITIC Group is a large state-run enterprise in China. The Guoan Project, which began full-scale operation in Qinghai Province this year, is Chin
SK bioscience, a global innovative vaccine and biotech company committed to promoting human health from prevention to cure, and the International Vaccine Institute (IVI) have jointly announced Profs. Andrew Pollard and Sarah Gilbert and Drs. Rino Rappuoli and Mariagrazia Pizza as two groups of co-re