Seoul shares fell nearly 1 percent on Friday as worries about the global economy continued to weigh, with domestically-focused stocks such as Shinsegae also extending falls following an unexpected rate increase a day earlier.
Selling was led by foreign investors, who unloaded a net 251.5 billion won ($262.2 million) as of 0650 GMT, and bringing their net sales total so far this month to $1.2 billion. However, LG Card Co Ltd surged 3.54 percent to 52,700 won after its lead creditor received three bids and a local newspaper said bidding prices were higher than expected.
"Domestic consumption is not so strong and corporate earnings are not so positive," said Lim Chang-gue, a fund manager at Samsung Investment Trust Management.
The benchmark Korea Composite Stock Price Index (KOSPI) fell 0.94 percent to end at 1,292.10. The KOSPI fell 0.95 percent for the week, snapping a three-week winning streak and ending below the key psychological level of 1,300 points.
Trade was volatile during the week, with shares rising to 10-week closing highs after the Federal Reserve froze US interest rates, only to fall over the past two sessions amid doubts about the health of the US economy and after the Bank of Korea unexpectedly raised interest rates to a five-year high.
Higher US markets and a fall in oil prices had at first lifted exporters on Friday, but they ended the session lower, with Samsung Electronics Co Ltd ending down 1.14 percent to 607,000 won and Hyundai Motor Co falling 1.56 percent to 75,500 won.
Korean Air Co fell 1.37 percent to 28,750 won, with some investors disappointed about its quarterly earnings out on Thursday, although smaller rival Asiana Airlines Inc rose 2.32 percent to 5,730 won.
Trade volume reached 222.9 million shares worth 2.5 trillion won, data at 0650 GMT showed, compared to 224.4 million shares worth 3 trillion won on Thursday. Decliners trumped gainers by 444 to 269 with 111 titles ending flat.
Retail investors bought a net 122.1 billion won in the main exchange, while institutional investors bought a net 118.2 billion won. The September KOSPI 200 futures index fell 2.35 points to 168.40, while the underlying KOSPI 200 spot index lost 1.79 points to 167.65. South Korea's junior and tech heavy Kosdaq market fell 0.42 percent to finish at 553.17.