S. Korean shares end lower on institutional selling

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South Korean shares closed lower Monday as institutions and retail investors sought to reduce risky shares ahead of what local analysts called an imminent U.S. rate hike. The local currency further lost ground against the U.S. greenback.

The benchmark Korea Composite Stock Price Index (KOSPI) lost 8.53 points, or 0.43 percent, to 1,966.05. Trading volume was slim at 213.7 million shares, worth 3.2 trillion won (US$2.7 billion) with losers outnumbering gainers 645 to 168.

The index pared earlier gains as institutions and individual investors turned to massive selling while foreigners remained net buyers.

Institutions offloaded a net 48.63 billion won, while retail investors dumped a net 39.5 billion won. Foreign investors scooped up a net 66.84 billion won, extending their buying streak to a third consecutive session.

"Concerns over a possible U.S. rate hike in December have been around for months. And the U.S. dollar has further strengthened since Donald Trump was elected the next U.S. president, affecting stock markets in most emerging countries," Mirae Asset Daewoo analyst Ko Seung-hee said.

Large caps ended mixed.

Market bellwether Samsung Electronics added 0.44 percent to 1,593,000 won, but global chipmaker SK hynix plunged 2.98 percent to 40,750 won.

Top automaker Hyundai Motor spiked 3.09 percent to 133,500 won, with its smaller affiliate Kia Motors advancing 0.95 percent to 37,000 won.

cosmetic monster AmorePacific tumbled 3.76 percent to 333,000 won, as prior reports recommended that China may force an import restriction on South Korean substance and related items in an evident striking back against Seoul's planned organization of the U.S. Terminal High Altitude Area Defense framework, otherwise called THAAD. 

Beautifying agents items have since quite a while ago delighted in solid request in China on the prominence of South Korean popular culture, known as the Korean Wave, or hallyu in Korean. 

LG Household and Health Care, another real beauty care products maker here, likewise dove 3.1 percent to 782,000 won, joining numerous amusement partakes in a descending development. 

Driving amusement firm SM dove 8.16 percent to another 52-week low of 25,900 won, while neighborhood match YG Entertainment likewise shed 6.9 percent to another 52-week low of 26,300 won. 

The neighborhood coin shut down at 1,186.60 won against the U.S. dollar, down 3.40 won from the past session's nearby. 

Security costs, which move contrarily to yields, shut blended. The yield on three-year Treasurys lost 1.1 premise focuses to 1.725 percent and the arrival on the benchmark five-year government security added 0.2 premise indicate 1.870 percent.