Tuesday, September 22 2020


Shares dip amid global market worries

Update: September, 11/2015 - 08:29

Local investors watch stock transactions at VCB Securities Company in Ha Noi. — VNS Photo Truong Vi

HA NOI (VNS) — Vietnamese shares inched lower after a two-day rise as investors eyed ongoing volatility in global markets.

On the HCM Stock Exchange, the VN-Index edged down 0.05 per cent to close yesterday's session at 572.07 points. It gained a 3 per cent in the previous two sessions.

In the Ha Noi's market, the HNX-Index also dropped 0.48 per cent to end the session at 77.79 points.

"The current environment only suits investors who can have a high risk tolerance," said analysts at FPT Securities Co in a note.

In the context of high volatility, investors would likely choose stocks with sound financial indicators, those with good business results in the third quarter and those who could benefit from the current monetary policy, such as exporting companies, FPT said.

The overall market condition was negative as just 24 per cent of 678 trading stocks advanced while 33 per cent declined. The rest closed unchanged.

Liquidity continued to fall on the two exchanges.

In HCM City, more than 70 million shares worth almost VND1.17 trillion (US$52 million) were traded by the end of the session, down around 23 per cent in both volume and value from Wednesday's levels. These figures were almost 50 per cent lower compared with the three-month average of 135 million shares and VND2.3 trillion ($102.2 million).

The trading volume was also much lower in the Ha Noi's market, totaling just 28.6 million shares worth VND329 billion ($14.6 million), down 18 per cent in volume and 21 per cent in value from Wednesday's figures.

Heavyweight stocks were mixed along with weakening investors' confidence in the market outlook.

Banks and energy stocks, which provided the market's upward momentum in the previous rally, lost their shine and declined yesterday.

Only Vietcombank (VCB), the largest listed lender with a market capitalisation of VND122.6 trillion ($5.4 billion), posted a gain of 0.4 per cent. Four of nine banks tumbled and four closed unchanged.

Large-cap oil and gas companies like PV Gas (GAS) and PetroVietnam Drilling and Wells Service (PVD) also fell after two-day rises.

Some large companies bucked the trend and posted gains, such a dairy giant Vinamilk (VNM), real estate VinGroup (VIC), software producer FPT Corp (FPT), insurer Bao Viet Holdings (BVH) and Saigon Securities Inc (SSI) but their growth was modest at less than 1 per cent.

SSI was also the leading stocks by volume nationwide with over 4 million shares traded, rising 1.6 per cent to close at VND25,400 ($1.13) each. — VNS

Send Us Your Comments:

See also: