Stocks drag at day's closing as pessimism grows

Update: January, 22/2015 - 09:25
Investors follow stock movements at the VNDirect Securities Trading Floor. — VNS Photo Viet Thanh
HA NOI  (VNS) — Stocks lost ground again in the last minutes of trading as investor pessimism mounted amid the unclear market outlook.

On the HCM Stock Exchange, the benchmark VN-Index retreated 0.54 per cent to close yesterday's session at 569.12 points.

Blue chips were the main drag as only seven of the top 30 shares by market value and liquidity gained value while 17 saw losses. The VN30, which tracks these stocks, decreased 0.44 per cent to finish at 606.53 points.

Waning liquidity dented investor patience. Trading value continued to drop 10 per cent from the previous session, totaling nearly VND1.64 trillion (US$76.6 million), while market volume reached over 83 million shares.

Furniture maker Duc Long Gia Lai Group (DLG) surprised the market by becoming the most active code on trading of 11.3 million shares, climbing 3.45 per cent to end at VND12,000 per share.

DLG recently approved the plan of issuing five million convertible bonds to Thang Long Fund Management Co. The two-year bonds are expected to be offered in this quarter. Bondholders can make conversions after one year of issuance with the price of at least VND12,000 a share.

The company has yet to release fourth-quarter business results, although it disclosed that its 2014 performance was positive.

On the Ha Noi Stock Exchange, the HNX-Index also slid 0.42 per cent to finish at 84.63 points, despite advancers outnumbering decliners by 108-84. The other 175 codes closed unchanged.

Liquidity remained low, with just 39 million shares worth VND477 billion ($22.3 million) traded by the end of the session, down 10 per cent from Tuesday.

With 5.5 million shares changing hands, FLC Joint Venture Global Investment Co (KLF) reclaimed the position of the most active code, although the price dove 1.75 per cent to end at VND11,200 a share. Sai Gon – Ha Noi Securities Co (SHS) came second on trading of 5.4 million shares, declining 5.45 per cent to settle at VND10,400 a share. — VNS