PetroVietnam affiliates boost market
HA NOI (VNS)— Trading slowed yesterday on the HCM City Stock Exchange, becoming sluggish during the afternoon session, with the VN-Index closing essentially unchanged at 393.67 points after reaching nearly 395 during morning trades.
Value rose by 21 per cent over the previous day's session to a total of VND600 billion (US$28.6 million), on a volume of over 38.7 million shares.
Blue chips weighed on the market, with half of the 30 leading shares declining, while 11 advanced. The VN30 Index closed down slightly to 460.09 points.
Among gainers, PetroVietnam Finance (PVF) rose by 4 per cent to VND7,800 per share with 1.6 million traded after news on Monday that PetroVietnam was seeking a bank to merge with PVF in bid to divest its own capital from this financial company.
Telecommunications equipment maker SACOM Development and Investment (SAM), the most-active share on the HCM City bourse, with two million exchanged, also rose 3 per cent to conclude the day at VND6,900.
On the Ha Noi Stock Exchange, the HNX-Index edged up 0.4 per cent to 55.43 points on a turnover of almost VND232.8 billion ($11 million).
Another PetroVietnam subsidiary, PetroVietnam Construction (PVX), was the most-active share on the Ha Noi board, with 5.5 million shares traded before closing at VND4,600 per share.
The low valuation of shares has attracted a number investors, but forecasts of poor corporate earnings in the third quarter have left most wary, according to FPT Securities Co analysts.
"Although valuations are low, investors have still decided to wait for official disclosures rather than take risks," they wrote in a note.
While domestic investors unloaded shares, foreign investors concluded yesterday as net buyers on both exchanges, picking up shares worth a combined net of VND53 billion ($2.5 million). — VNS