Colombia attacking midfielder Guarin had appeared set to leave San Siro and join defending Serie A champions Juventus in an agreement that would have seen Montenegro striker Vucinic go the other way.
However, the news that the double transfer was in the offing caused anger among Inter fans, with the Curva Nord supporters group blasting new owner Erick Thohir on Monday for attempting to sell one of the club's best players.
And Thohir, who secured a majority stake in the club back in October, has now called off the deal, citing unsatisfactory "technical and financial conditions".
A statement on Inter's official website read: "FC Internazionale has decided not to continue negotiations with Juventus regarding the transfer of Fredy Guarin and Mirko Vucinic.
"President Thohir, having conferred with (honorary president) Massimo Moratti and the club's management team, did not feel that the necessary technical and financial conditions were in place to come to a satisfactory agreement."
Thohir has now told senior Inter officials to look for other ways of strengthening a side that sits fifth in Serie A.
The statement continued: "The president has already instructed the club's sporting directors to assess other transfer opportunities, with the aim of strengthening the team while respecting the parameters imposed by the Financial Fair Play rules."
Guarin has made 22 appearances in all competitions for Inter this season, scoring four goals.
