|The VN-Index has declined for four consecutive days, falling 2.68 points or as much as 0.47 per cent to 567.35 points. — File Photo
HA NOI (VNS) — Shares extended losses yesterday on fear of increasing East Sea tensions, coupled with the State Bank of Viet Nam's decision to devalue the dong by 1 per cent.
The reference rate for the currency was weakened to 21,246 per dollar.
The VN-Index has declined for four consecutive days, falling 2.68 points or as much as 0.47 per cent to 567.35 points.
In the morning trading session, selling pressure intensified as investors feared further declines, causing the VN-Index to drop almost 12 points at a point in time. However, the panic did not last long as value hunters rose to buy cheap stock, with investors becoming more calm and boosting liquidity in the market. The trading volume and value increased by respectively 20 per cent and 30 per cent from the previous trading session to rise to 124.3 million shares and VND1.76 trillion (US$83.8 million).
Most large-cap stocks plunged as sell-offs occurred in the VN30-Index, tracking the performance of the southern bourse's 30 largest stocks by capitalisation and liquidity, which declined 0.77 per cent to 613.82 points. Only four companies managed to advance yesterday, Da Nang Rubber Corporation (DRC), Kinh Do Corporation (KDC), Hoa Sen Group (HSG) and PetroVietnam Low Pressure Gas Distribution (PGD).
A gain of 0.95 per cent to VND105,000 ($5) a share of PetroVietnam Gas Corporation (GAS) helped narrow the benchmark index's loss yesterday.
Property stocks continued to attract significant capital inflows yesterday. FLC Group (FLC) led in the trading volume, with 3 million shares changing hands, followed by Hoang Quan Corporation (HQC) and Tan Tao Group (ITA).
In total, there were 156 decliners on the southern bourse but only 61 advancers. The northern bourse also experienced a similar trading session with the HNX-Index declining 0.54 per cent to 76.44 points and the HNXFF-Index, composed of stocks with a minimum free float rate of 5 per cent, edging down 0.56 per cent to 76.99 points.
As shares tumbled, investors increased buying activities, with 68.6 million shares worth VND690.5 billion ($32.8 million) changing hands. The HNX30-Index, which tracks top stocks, fell by 0.73 per cent to 152.98 points.
Foreign investors continued to be net buyers of VND168 billion ($8 million) shares, nearly 80 per cent of which was on the southern bourse, as they bought cheap stocks in a trading session, which was on a declining trend. — VNS