Sentiment among South Korean businesses declined this month on less business days, caused by the 10-day Chuseok holiday, central bank data showed Tuesday.

The business sentiment index (BSI) in all industries stood at 78 in October, down 3 points from the previous month, according to the Bank of Korea (BOK). The reading below 100 indicates pessimist outnumbered optimists.

The traditional Chuseok holiday lasted long from Sept. 30 to Oct. 9, shrinking the number of working days. It led to the worsening of business confidence.

The BSI among manufacturers shed 2 points from a month earlier to 81 in October on the back of weak domestic demand.

The figure for non-manufacturers declined 3 points to 76 in the cited period.

Outlook for economic conditions improved. The November BSI for manufacturers stood at 84, with the reading for non-manufacturers coming to 79 in November.