South Korean bond market sentiment worsened slightly for November amid rising interest rates and concerns over a second wave of coronavirus infections, a poll showed Friday.

The Korea Financial Investment Association said its bond market survey index (BMSI) inched down to 100.1 for the coming month from 104.1 in October.

Yet the November figure is above par. A BMSI reading above 100 means more experts expect bond market conditions to take a turn for the better. The association's monthly survey was taken by 100 bond experts.   

The slight drop was attributed to a rise in market interest rates stemming from increased state bond issues and worries about a recent surge in coronavirus infections across the world.

The BMSI for interest rates decreased to 94 for November from October's 102, indicating bond experts expect borrowing costs to go up next month, according to the findings.

The index for exchange rates surged to 113 from 96, pointing to their expectations for the South Korean currency's appreciation against the US dollar.

The association said market experts are anticipating the won's rise against the greenback due to the US presidential election in November and the Chinese currency's strength resulting from a recovery in the Chinese economy. (Yonhap)