Investors flee depressed market
HA NOI (VNS)– Shares closed in the red yesterday on both national stock exchanges, following heavy selling.
|Investors trace market fluctuations at SBS stock trading floor of Sai Gon-Thuong Tin Commercial Bank in HCM City. — VNA/VNS Photo Hoang Hai
On the HCM City Stock Exchange, the benchmark VN-Index edged down 0.07 per cent, reaching 398.23 points. Most of the shares finished unchanged from Thursday's session, while only 65 listed codes managed to advance.
Trading value and volume fetched VND645.8 billion (US$30.7 million) and 52.6 million shares, respectively. That translated into a 43.5 per cent increase in value and 50.3 per cent rise in volume compared to the previous trading day.
The VN30 – representing the bourse's 30 largest stocks – retreated 0.15 per cent to 471.26 points as over two-thirds of the blue chips tumbled. Notably, property developers Tan Tao (ITA) and Tu Liem Urban Development (NTL) and financiers Ocean Group (OGC) and PetroVietnam Finance (PVF) plunged to the floor.
Only four stocks among this group added value, including Eximbank (EIB), Gemadept Logistic (GMD), commercial baker Kinh Do (KDC) and Vinamilk (VNM).
ACB Securities Co analyst Le Huynh Nhut Hai said that investors were attracted by real estate-related stocks during the past two weeks.
"However, this trend would end due to the unsatisfactory business operations in the sector during the third quarter, as the housing market remains bleak and there is limited credit from banks."
The real estate sector's problems would also affect related industries such as production of cement, steel and building materials, he added.
On the Ha Noi Stock Exchange, the HNX-Index slid 1.9 per cent to just 54.74 points. Losers largely outnumbered gainers by 152-58.
The total market value reached VND314.13 billion ($14.9 million), increasing 51.6 per cent, as 44.2 million shares changed hands.
The HNX30, tracking the capital city's top stocks, also dropped 2.7 per cent to 102.89 points.
Also yesterday, the monthly consumer price index in Ha Noi for October was announced to have risen by 0.37 per cent against September and 6.75 per cent over the same period last year. However, the increase was lower than last month's rate.
Meanwhile, according to the third-quarter business reports of securities companies, the number of companies making losses outnumbered profitable ones. There were 28 brokerages with losses totalling VND227 billion ($10.8 million) and 26 firms earning around VND215 billion ($10.2 million). — VNS