Time now for an in-depth look at the market news this afternoon.
And for that, I'm joined on the line by Dr. Kim Sei-wan, Professor of Economics at Ewha Womans University.
Professor Kim, good afternoon. Thank you for making time today.
This week we had China reporting on-year economic growth for the third quarter below five percent, which is extraordinarily low by China's standards and lower than market expectations. They say they're still on track for 6 percent growth this year, but there are other risks like the energy shortage and the debt crisis at Evergrande. What do you see happening in the Chinese economy?
Staying with China for a minute, the difficulties in the global supply chain are resulting in higher prices around the world. China is Korea's biggest trade partner, so that presents all kinds of concerns if its economy is slowing down. What effects do you see for Korea if China runs into more trouble?
Now, let's look at the equity markets. Stocks on Wall Street closed higher again on Tuesday as corporate earnings came out. The S&P was up for a fifth session in a row, and is right near an all-time high. What's the story in the global markets?
Today, Korean stocks started higher coming off those Wall Street gains, but in the end closed lower. Shares of Samsung Electronics weighing on the main index with institutional investors net sellers. Tell us about the domestic market.
If we could talk about currencies for a minute. Data show last month, Korea's foreign currency holdings went up by about 1.6 billion dollars. Households, though, were holding less in dollars than before while companies had bigger dollar deposits than ever before. What's happening there, and why might companies be holding on to all this foreign currency?