S.Korea Dec dept store sales slip 3.8 pct, set to snap 3 months of gains

Hyundai Department Store Co

12/01/2016 01:00

SEOUL, Jan 12 (Reuters) - Sales at South Korea's top 
department stores likely declined in December after three months 
of gains, preliminary government data showed on Tuesday, 
fuelling concerns that government efforts to boost consumption 
may be running out of steam. 
    Combined sales at department stores run by Hyundai 
Department Store  069960.KS , Lotte Shopping  023530.KS  and 
Shinsegae Co  004170.LS  slipped 3.8 percent in December from a 
year ago, the finance ministry said in a monthly report on 
Tuesday. 
    Sales at major discount stores likely fell 2.1 percent over 
the same period, which would mark a third straight month of 
declines. 
    In November, department store sales rose 1.0 percent 
on-year, while discount store sales fell 3.7 percent. 
    In the same report, the finance ministry said South Korea's 
economy continues to show a steady recovery in domestic demand, 
but a comeback in manufacturing and investment has been delayed 
due to weak exports. 
    It also said risks at home and abroad have increased due to 
a spike in market volatility in China, higher interest rates in 
the U.S., falling global oil prices and a recent hydrogen bomb 
test in North Korea. 
    The ministry said it would take immediate action according 
to prepared contingency plans if needed after observing 
financial markets. 
 
 (Reporting by Christine Kim; Editing by Kim Coghill) 
 ((christine.kim@thomsonreuters.com; 822 3704 5665; Reuters 
Messaging: christine.kim.thomsonreuters.com@reuters.net)) 
 
Keywords: SOUTHKOREA ECONOMY/RETAIL