South Korean firms' business sentiment for the upcoming month worsened from a month earlier with a majority of local companies expecting a continued slump in demand both at home and abroad, a survey showed Friday.

The business survey index for November came to 89.8, compared with 96 registered for this month, according to the Federation of Korean Industries.

The monthly index is based on a survey of the 600 largest companies here. A reading below 100 means pessimists outnumber optimists.

The reading for November marked the lowest since 89.5 registered for August.

The sharp on-month drop was attributed to a growing number of businesses holding a negative outlook on sales at home and abroad.

An index measuring the local firms' sentiment toward domestic sales dipped to 96.6 for November from 100.2 the previous month, while a separate index on exports came to 93.4, also down from 96.9 a month earlier.

The negative outlook comes amid a monthlong strike by unionized workers of the state-run Korea Railroad, joined by unionized truckers, that has nearly crippled the country's logistics networks.

As of Thursday, cargo trains were operating at 47.7 percent of their normal levels, with nearly 40 percent, or 7,325, out of KORAIL's 18,364-strong workforce still taking part in the walkout staged since Sept. 27, according to the Ministry of Land, Infrastructure and Transport.

Such an outlook apparently followed a poor performance in October.

The FKI said the actual business performance of the top 600 firms here came to 89 in October, down from 92 in the previous month and far short of their earlier outlook of 96 for the month. (Yonhap)