|Investors monitor market movements at the office of SME Securities Company. Profit-taking caused shares to dip on both of the nation's stock exchanges yesterday. — VNA/VNS Photo Pham Hau
HA NOI — Shares continued to retreat yesterday on profit-taking, closing the first session of this week down on both national stock exchanges with over 55 per cent of codes losing value, led by blue chips.
"It's clear that investors are selling to take profits," an analyst of FPT Securities Co wrote on the company's website, adding that it could be a "mixed blessing as it may generate a new wave of buyers or it may send the downward spiral deeper."
He believed cash flows will be injected into the market but that most cash holders would rather wait because they wanted to buy at lower prices.
Investors and analysts are closely monitoring this correction phase as they believe if money flows continue to pour into the market in the coming sessions, the market will soon rebound. But analysts also warn it is difficult for the market to surge on a lack of economic supporting information.
On the HCM Stock Exchange, the VN-Index slid 2.34 per cent to finish yesterday's session at 395.54 points. Market volume declined 31 per cent from Friday to just 34.5 million shares, worth VND679.3 billion (US$32.3 million).
Blue chips slumped with nine stocks of the VN30 hitting the floor prices, while the VN30 Index lost 2.62 per cent over Friday to finish at 446.23 points.
Bank shares, the impetus behind last week's gains, all lost ground yesterday. Vietinbank (CTG) and Sacombank (STB) dropped to their floor prices, while Eximbank (EIB) – the most active share with a volume of 1.76 million shares traded – was down 4.4 per cent; Military Bank (MBB) closed off at 6.8 per cent; and Vietcombank (VCB) lost 1.6 per cent.
Only Phu My Fertiliser (DPM) bucked the trend, gaining 1.4 per cent to close at VND28,900 ($1.38). DPM posted a net profit of VND3.1 trillion ($147.6 million) in 2011, and its cash-on-hand reached over VND4 trillion ($190.5 million) by the end of last year.
The benchmark HNX-Index on the Ha Noi Stock Exchange concluded yesterday at 61.04 points, down 2.63 per cent over Friday's close, with decliners overwhelming advancers by a factor of four to one.
Trading value remained low at VND272.2 billion ($13 million) with 32.3 million shares changing hands.
Bank shares also lost ground on the Ha Noi bourse. Ha Noi Housing Bank (HBB) and Sai Gon-Ha Noi Bank (SHB) plunged to the floor while Asia Commercial Bank (ACB) also slid 5.1 per cent.
VNDirect Securities (VND), the most heavily-traded stock nation-wide with 4.37 million shares exchanged, also bottomed out at VND7,100.
Foreign investors concluded yesterday as net buyers on both exchanges, picking up a combined VND63.3 billion ($3 million) worth of shares. — VNS