Thursday, September 24 2020


Stocks progress, liquidity weak

Update: September, 08/2017 - 09:00
Stock trading at Tân Việt Securities Company. — VNS Photo Đoàn Tùng
Viet Nam News

HÀ NỘI — Shares rose further on both local exchanges on Thursday, boosted by some large-cap stocks, while market trading liquidity showed little improvement to strengthen investor confidence.

The benchmark VN-Index on the HCM Stock Exchange gained 0.40 per cent to close at 796.72 points, extending its rally for a sixth session with total growth of 2.9 per cent.

The southern market index has risen 4.6 per cent in the last 11 sessions to approach a 10-year record of 800 points.

The HNX-Index on the Hà Nội Stock Exchange inched up 0.11 per cent to end at 104.61 points. The northern market index has increased by total 0.8 per cent over the past three trading days.

More than 194 million shares were traded on both bourses, worth VNĐ4.16 trillion (US$185 million), similar to Wednesday’s numbers.

The market trading condition was balanced across the two local exchanges with 225 increasing stocks and 221 losing ones.

Among the 20 sectors on the stock market, brokerage, agriculture, information technology and plastic and rubber production were among gainers, while decliners included construction and seafood production.

Large-cap stocks were mixed with 14 of the 30 largest companies by market capitalisation in the VN30 Index advancing and 13 closing flat.

Among gaining stocks in the VN30 Index were food and beverage producer Masan Group (MSN), brewer Sabeco (SAB), PetroVietnam Gas (GAS), PetroVietnam Drilling and Well Services (PVD) and FLC Faros Construction (ROS).

According to Vietnam Investment Securities Company (VIS), the recent rise of SAB had a big impact on the good run of the VN-Index and helped the benchmark approach the old peak of 800 points. SAB has posted total growth of 8.9 per cent in the last six sessions and its gain also corresponded with the VN Index’s latest six-day rally.

VIS said in its daily report that it would be possible for the VN-Index to extend its gain for a seventh session on Friday as the number of gaining stocks was balanced with that of losing ones, proving that investor confidence was spread among all stocks instead of focusing on some particular ones as in previous sessions.

However, VIS warned that careful moves should be prioritised at the moment as late profit-taking seemed to increase when the market was near closing, putting pressure on investor portfolios.

“This is a hard time for investors to look for profits and opportunities even when the market progresses,” it said, adding that trading liquidity signaled no improvement, remaining lower than the average of the 21 previous sessions and proving that many investors are sitting on the fence. — VNS

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