Shares gain on low liquidity

December 28, 2022 - 06:57
The market's sentiment was positive with more stocks increasing, of which 331 stocks inched higher and 86 reduced.
A steel mill of Hoà Phát Group (HPG). HPG rose 7 per cent on Tuesday. VNA/VNS Photo

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HÀ NỘI — Vietnamese stocks gained on Tuesday on record low liquidity as many investors were hesitant to jump on board although there was an increase in stock valuations.

The VN-Index on the Hồ Chí Minh Stock Exchange (HoSE) closed the day at 1,004.57 points, an increase of 1.97 per cent.

The market's sentiment was positive with more stocks increasing, of which 331 stocks inched higher and 86 reduced.

Liquidity hit a record low with more than 593 million shares traded, equivalent to a value of VNĐ9.6 trillion (US$407 million).

With the cautious state of cash flow in the last few sessions, the market lost its balance. The market reached the support ability of 1,000-points.

Temporarily, the 1,000 – 1,020 points range is an area that can put pressure on the market in the near future, therefore, investors should be cautious about the increasing market risk. At the same time, it is still advisable to consider taking profits or restructuring portfolios in the direction of minimising risks when the market has a recovery span, said Việt Dragon Securities Co.

“After a struggling session in the zone of 985 - 995, VN-Index suddenly gained at the end of the session; however, the liquidity remained at a low level in recent sessions. In the coming sessions, it is likely that VN-Index may have shaking sessions around 1,000 points,” said BIDV Securities Co.

The 30 biggest stocks tracker VN30-Index posted a gain of 1.98 per cent, to finish at 1,007.36 points. Of the VN30 basket, 27 stocks climbed, while two declined and one ended flat.

Banking stocks saw positive results, with gainers including Techcombank (TCB), Sài Gòn Thương Tín Commercial Joint Stock Bank (STB), Military Bank (MBB) and Vietnam International Bank (VIB), Sài Gòn-Hà Nội Bank (SHB), Asia Commercial Bank (ACB), and Vietinbank (CTG), VPBank (VPB), Tiên Phong Bank (TPB) and Liên Việt Post Bank (LPB).

Some large-caps still performed positively, with the biggest gainers in the VN-30 basket being Hoà Phát Group (HPG), SSI Securities Inc (SSI), Khang Điền House (KDH), all hitting the daily limit rise of 7 per cent.

On a sector basis, all 25 indices on the stock market gained ground, including insurance, wholesale, construction, logistics, agriculture, real estate, retail, seafood production, construction materials, securities, rubber production, plastic and chemical production, banking, oil and gas, IT, food and beverage, and healthcare.

The HNX-Index on the Hà Nội Stock Exchange (HNX) also ended higher. The northern market index rose 2.34 per cent, to close at 203.14 points.

More than 58.8 million shares were traded on the HNX, worth VNĐ770 billion. — VNS