Seoul, South Korea – South Korean exports experienced a surge in growth in February, reaching $52.41 billion, a 4.8% increase from the previous year. This growth exceeded estimates and was primarily driven by the strong demand for semiconductors, according to preliminary government data. The increase in exports marked a significant improvement compared to the 18% growth recorded in January, while imports saw a steeper decline of 13.1%.
Trinh Nguyen, a senior economist at Natixis, commented on the positive trend in South Korea’s manufacturing cycle, particularly benefiting from the upturn in the ICT (Information and Communications Technology) industry in the U.S. This positive outlook is expected to support further growth in South Korea’s export sector.
In Japan, however, factory activity contracted at the fastest pace in over three years in February due to weakening demand. The au Jibun Bank’s flash Japan manufacturing purchasing managers’ index fell to 47.2, indicating a continued contraction in private sector business activity. This marks the ninth consecutive deterioration in business activity and the strongest contraction since August 2020.
Similarly, China’s manufacturing activity experienced a fifth straight month of contraction in February, according to official data. Despite this, a private survey indicated that factory activity expanded during the same period. The contrasting reports highlight the challenges faced by China’s manufacturing sector amidst ongoing economic uncertainties.
Meanwhile, India’s economy showed impressive growth in the third quarter, exceeding expectations with a 8.4% increase in GDP. This growth was driven by higher private consumption, strong manufacturing, and construction activity. The robust performance in India’s economy has led to an upward revision of GDP growth outlook for the fiscal year 2023-24, signaling positive momentum for the country’s economic prospects.
In the U.S., billionaire investor Ray Dalio expressed his views on the stock market, stating that it does not appear to be in a speculative bubble based on his analysis of various market indicators. His assessment provides insights into the current state of the U.S. stock market and its resilience amidst changing market conditions.
Lastly, Dell Technologies saw a significant increase in its shares following better-than-expected fourth-quarter results. The tech company reported strong demand for its artificial intelligence servers, leading to a jump of more than 18% in extended trading. Dell’s decision to increase its annual dividend reflects its confidence in the business and overall performance in the market.