S.Korea's consumer confidence falls on Fed's rate hike

Confidence among South Korean consumers over economic conditions fell for the first time in six months due to the U.S. Federal Reserve's interest rate hike, central bank data showed Thursday.

The composite consumer sentiment index (CCSI) declined three points from a month earlier to 103 in December, the first decline in six months, according to the Bank of Korea (BOK).

The reading above 100 means optimists outnumber pessimists. It was based on a survey of 2,046 households.

The weakened confidence came as the Fed raised its benchmark interest rate in December for the first time since the 2008 global financial crisis.

The Fed's rate hike boosted expectations that the BOK would normalize its record-low interest rate with a gap of a certain time.

Sub-indices showed a gloomy picture. The index on current economic conditions declined four points from a month earlier to 75 in December, and the reading on prospective economic conditions slumped five points to 84.

The outlook for home prices tumbled 11 points to 102 in December, marking the lowest since August 2013.

Inflation expectations, which gauge consumer outlooks for headline inflation in the next 12 months, remained flat at 2.5 percent for five months in a row. Enditem