*Shipbuilders tumble on order cancellation news
*Exporters fall on U.S. economy worries
*Airlines down on higher oil
(Updates to midmorning)
SEOUL, Aug 4 (Reuters) - Seoul shares opened lower on Monday
with a rise in oil prices and worries about the U.S. economy
after bleak job data on Friday dampening market sentiment, while
shipbuilders tumbled on news of cancelled orders.
The Korea Composite Stock Price Index was down 1.73
percent at 1,546.36 points as of 0043 GMT.
"Amid the weak current environment, the poor U.S. job data
and cancelled ship orders have come as a blow to the market,"
said Lim Tae-geun, a market analyst at Daewoo Securities.
Shipbuilders led losses on a recent batch of order
oancellations after some shipping companies failed to make
pre-payments.
Daewoo Shipbuilding and Marine Engineering (042660.KS) said
on Friday it had cancelled a 619 billion won ($609.4 million)
order to build eight container ships for an unidentified European
company [ID:nSEO235990], while Hyundai Mipo Dockyard (010620.KS)
also said that it had cancelled a 197 billion won ($193.9
million) order for four product carriers from an unidentified
European firm.
Shares in Daewoo Shipbuilding plunged 11.06 percent to 36,600
won and Hyundai Mipo shed 7.09 percent to 183,500 won. Hyundai
Heavy Industries (009540.KS) also fell 8.62 percent to 281,000
won and Samsung Heavy Industries (010140.KS) declined 6.74
percent to 35,950 won.
Exporters such as Hyundai Motor (005380.KS) and LG Display
(034220.KS) retreated after a U.S. government report showed that
U.S. employers cut jobs for the seventh straight month in July,
stoking anxieties about South Korea's second-largest export
market.
Hyundai Motor lost 3.25 percent to 68,400 won and LG Display
dropped 1.64 percent to 29,900 won.
Transporters such as Korean Air Lines (003490.KS) also fell
after U.S. crude CLc1 rose to settle above $125 a barrel on
Friday, worsening cost burden worries.
Korean Air Line fell 2.93 percent to 43,050 won and Asiana
Airlines (020560.KS) lost 1.64 percent to 4,495 won.
($1=1015.7 Won)
