The manufacturing sector in South Korea continued to contract in January, albeit at a slower pace, the latest survey from S&P Global revealed on Wednesday with a manufacturing PMI score of 48.5.
That's up from 48.2 in December although it remains beneath the boom-or-bust line of 50 that separates expansion from contraction.
This signaled the seventh successive monthly deterioration in the health of the South Korean manufacturing sector and one that was moderate overall. For the ninth consecutive survey period, South Korean manufacturing output declined in January.
Furthermore, the downturn accelerated from December and was the sharpest seen for three months. According to anecdotal evidence, falling new orders amid a stagnating economy led to the drop in output. New orders received by South Korean manufacturers fell sharply at the start of the year, reflecting weak demand conditions in both domestic and external markets.