"The market is taking it easy after seeing sharp gains in the past two sessions. Investors are a bit cautious ahead of key manufacturing data from China this week," said Juhn Jong-kyu, a market analyst at Samsung Securities. "But the mood is not bad at all. The most recent US consumer confidence reading was very reassuring," Juhn added Data from the US Conference Board's index of consumer confidence, which in November jumped to its highest level since July, beat forecasts. Foreign investors were buyers of a net 99.8 billion won worth of stocks, and institutions were buyers of a 67.4 net billion won, picking up shares for a fifth straight session. The Korea Composite Stock Price Index (KOSPI) finished down 0.49 percent at 1,847.51 points. Hana Financial Group advanced 3.1 percent after a report the price for its planned purchase of Korea Exchange Bank (KEB) from US fund Lone Star could be cut to around 4 trillion won from earlier estimates of around 4.4 trillion won. Technology issues continued to be lifted by positive US consumer sentiment data, with LG Electronics, the world's No.3 handset maker, rising 1.5 percent. Utility Korea Electric Power Corp (KEPCO) however fell 3.3 percent despite media reports the government may announce electricity tariff hike early next month. "I am hearing the scope of the hike will be far lower than KEPCO had hoped," said Yoon Hee-do, an analyst at Korea Investment & Securities. "Without a larger hike, KEPCO will have difficult time making timely investments." Shares in STX Pan Ocean rose 1.2 percent and Hyundai Merchant Marine inched up 0.2 percent after a 1 percent gain in the Baltic Dry Index, which tracks the cost of shipping key commodities. Defensive issues attracted investor interest following losses this week, with snack maker Lotte Confectionary advancing 4.1 percent and KT&G, a tobacco and ginseng producer, rising 2.3 percent. The KOSPI 200 index fell 0.54 percent, while the junior Kosdaq market advanced 0.02 percent.