South Korean government bond yields have been on a soaring trajectory, surging by nearly 0.5 percentage points in just the past month, and are now heading towards the 5 percent range.According to the Economic Statistics System of the Bank of Korea (BOK) on Oct. 5, the yield on 10-year government bon
Struggling with a bearish trend before the Chuseok holiday, the KOSPI index experienced a sharp decline of over 2 percent on Oct. 4, falling below the 2,400 mark as it was hindered by the rapid increase in U.S. Treasury bond yields. Concurrently, the won-U.S. dollar exchange rate reached its highest
An event commemorating the 50th anniversary of diplomatic relations between Korea and Finland was held at KOTE in Insa-dong on Thursday, September 21, and Finnish health tech company Naava Korea (CEO Nam-kyu Lee) also participated as a main partner in this event.On August 24, 1973, the presidents of
Last month, the scale of corporate bond issuance increased by nearly 4 trillion won (US$2.98 billion) compared to the previous month. This surge was primarily driven by a significant increase in financial institution-issued bonds despite a decrease in the issuance of general corporate bonds. On the
LG Energy Solution announced on Sept. 19 that it has successfully completed the issuance of a total of US$1 billion in global green bonds including US$400 million with a five-year maturity and US$600 million with a five-year maturity.Their interest rates were set at +100 basis points (bps) and +130
In response to the rapidly evolving landscape of the logistics sector, characterized by an increase in the value addition of logistics, the integration of advanced systems, and the proliferation of borderless e-commerce, Incheon International Airport is steadfast in its commitment to enhancing logis
Last month foreign investors experienced a net outflow of US$1.7 billion (2.26 trillion won) from their investments in domestic stocks and bonds, marking the first time in 7 months since January that such a substantial withdrawal has occurred. Both stocks and bonds saw capital leaving the market dur
Foreigners switched to selling in the Korean stock and bond markets in August. Foreigners sold more than 1 trillion won worth of Korean stocks in August alone, pushing down their share of listed Korean stocks to the lowest point this year.According to a report about August 2023 foreigner Korean stoc
As the three-way compressed battle for the acquisition of HMM involving Harim Group, LX Group, and Dongwon Group intensifies, the possibility of candidates with insufficient cash assets making a successful acquisition has increased. This has raised questions about their financial capabilities and th
The South Korean government’s initiative to issue “Samurai Bonds” has been seen as a signal of enhanced economic cooperation between South Korea and Japan. Following the government’s move to issue Samurai Bonds, there is growing interest in whether South Korean companies will also embark on yen-deno
Korean entertainment agency Attract has succeeded in securing investment from Singapore’s Evergreen Group Holdings.The company announced on Aug. 31 that it has received a major investment from Evergreen Group Holdings. The exact amount of the investment has been kept under wraps.Evergreen Group Hold
The author is an analyst for NH Investment & Securities. He can be reached at bk@nhqv.com -- Ed.In terms of policy effects, the US appears to be winning this new phase of the Cold War. Although Korea has chosen to support the US, it is still impacted by developments in both the US and China due to i
The author is an analyst for NH Investment & Securities. He can be reached at sw.kang@nhqv.com -- Ed.We attribute August’s bear-steepening to a combination of: 1) fears of upward revisions to i* and r*; and 2) supply-demand pressures. Although supply-demand factors linger, concerns about increases t
This year, SK REIT’s share-price decline has been modest compared to the level seen during its rights issuance period last year. With capital to be raised to the degree expected, DPS is projected to rise over the next year. We advise buying at the current low price, believing that the risk of any sh
The author is an analyst for Shinhan Securities. He can be reached at jk.ahn@shinhan.com -- Ed.US government and Fed seek to bring down inflation without a recessionThe US Fed is seeking to stabilize inflation at lower levels without a recession in hopes of avoiding a repeat of the 1970s. It has rai
The author is an analyst for NH Investment & Securities. He can be reached at sw.kang@nhqv.com -- Ed.Spiking real interest rates undermine fiscal sustainability. The US government will try to pace its spending and ease supply pressures through the TGA account. However, investors have no incentive to
Hanwha Ocean (formerly Daewoo Shipbuilding & Marine Engineering) is preparing to raise funds amounting to around 2 trillion won. This move is proactive investment in defense and other sectors in preparation for the future.On Aug. 22, Hanwha Ocean announced, “We are reviewing various ways to raise fu
Korea Electric Power Corporation (KEPCO) has reportedly exceeded 200 trillion won (US$149.31 billion) in debt for the first time in its history. This comes as the company is predicted to incur an operating loss of approximately 7 trillion won this year. Concerns are mounting over KEPCO’s ability to
The Korean government will issue yen-denominated foreign exchange stabilization bonds, also known as samurai bonds, for the first time since the 1998 foreign exchange crisis in Korea. Private investors, including major Japanese banks, are being targeted. They are expected to help Korean companies to
Hapag-Lloyd, based in Germany and the fifth-largest shipping company in the world, is currently considering participating in the acquisition bid for Hyundai Merchant Marine (HMM), the largest shipping company in South Korea, which is currently offering a sale.According to investment banking (IB) ind