SEOUL, Oct 11 (Reuters) - Seoul shares retreated on Thursday, a day after setting a fresh record high, as LG.Philips dropped after a major shareholder sold part of a stake, with the mood cautious ahead of the outcome of the Bank of Korea's monthly policy meeting.

LG.Philips LCD Co Ltd <034220.KS> fell 2.8 percent to 43,750 won after Dutch Philips Electronics <PHG.AS> sold 46.4 million shares at 43,425 won each overnight, marking a 3.5 percent discount to Wednesday's closing price, according a source familiar with the deal. [ID:nSEO265280]

The benchmark Korea Composite Stock Price Index (KOSPI) <.KS11> was down 0.2 percent to 2,037.68 points by 0004 GMT, retreating from an intraday record of 2,044.78 in the previous session. ((Reporting by Rafael Nam, editing by Keiron Henderson; Reuters Messaging: [email protected]; Email: [email protected]; Tel: +822 3704 5644)) Keywords: MARKETS KOREA STOCKS/OPEN