[THE INVESTOR] Seoul shares ended lower on May 25 as the abrupt cancellation of the US-North Korea summit weighed on investor sentiment despite gains in technology stocks. The won rose against the US dollar.

The benchmark KOSPI fell 5.21 points, or 0.21 percent, to 2,460.80. Trade volume was moderate at 643.14 million shares worth 8.894 trillion won (US$8.30 billion) changing hands, with decliners outnumbering advancers 691 to 148.

Individuals dumped a net 478 billion won worth of stocks, offsetting a net buying of 457 billion won by institutions and foreigners.

“Stocks related to inter-Korean economic cooperation fell sharply due to the summit cancellation. But foreign purchases of technology stocks kept the index from falling further,” Daishin Securities analyst Park Choon-young said.

In particular, construction stocks led declines, with Hyundai Engineering & Construction plunging 9.78 percent to 60,900 won, Kumho Engineering & Construction declining 12.09 percent to 12,000 won and Samsung Engineering falling 2.12 percent to 18,450 won.

Auto stocks declined further following reports that the US government is considering imposing 25 percent tariffs on imported vehicles. Top carmaker Hyundai Motor fell 0.71 percent to 139,000 won and Kia Motors shed 1.38 percent, closing at 32,250 won.

Foreign buying of technology shares helped offset the declines in builders. Market bellwether Samsung Electronics jumped 2.53 percent to 52,700 won and No. 2 chipmaker SK hynix climbed 0.63 percent to 95,200 won.  

The local currency closed at 1,078 won against the US dollar, up 1.60 won from the previous session.

By Song Seung-hyun and newswires (ssh@heraldcorp.com)