SEOUL, Dec 1 Reuters South Korea39;s factory activity shrank for a fifth straight month in November but the downturn moderated slightly, a privatesector survey showed on Thursday, possibly suggesting the worst is over for businesses.

The SP Global purchasing managers39; index PMI for South Korea manufacturers rose to a seasonallyadjusted 49.0 in November from 48.2 in October.

It remained below the 50mark that separates expansion from contraction for a fifth consecutive month, but has continued to improve from a more than twoyear low of 47.3 reached in September.

Output shrank for a seventh month, but the rate of contraction was the mildest in the streak, while new orders fell for a fifth month. Exports declined for a ninth month, though it was the slowest in the current declining cycle.

A fall in orders from some of South Korea39;s key export markets was reported to have driven the latest decline with panel members specifically mentioning a slowdown in semiconductor exports, the survey noted.

Latest survey data provides tentative signs that the sector may have overcome the nadir of the current downturn, said Laura Denman, an economist at SP Global Market Intelligence.

Supplier39;s delivery times, an indicator of the degree of supply chain disruption, worsened by the least since January 2020, while semiconductor delays were specifically mentioned by a number of respondents, according to the survey.

On the inflation front, input prices rose at a slower pace than in…