Markets slump on investor caution
Markets slump on investor caution
Shares edged down on Wednesday morning as many major large-cap stocks lost value on rising investor caution about a correction.
The benchmark VN Index on the HCM Stock Exchange was down 0.6 per cent at 727.3.
On the Ha Noi Stock Exchange, the HNX Index fell 0.8 per cent to touch 89.95 points.
Around 165 million shares worth VND2.5 trillion (US$109 million) were traded in the two markets in the morning.
Only five of the top 30 stocks by market value and liquidity on the main bourse advanced, while 23 declined.
Losers include everyone from banks, insurers, steel and plastic manufacturers to consumer product companies, oil and gas firms and developers.
Tan Tao Investment Industry Corp (ITA) and Hoang Quan Consulting Trading Service Real Estate Corp (HQC) were among the big decliners after both posted audited business results much lower than the 2016 estimates.
Hoang Quan’s net profits dropped from nearly VND112 billion to just VND19.6 billion in 2016 after the audit. Both revenue and profits of Tan Tao Investment Industry slipped 71 per cent year-on-year to VND296 billion and VND53 billion, respectively.
Both companies’ shares lost more than 5 per cent in the morning trade.
The afternoon session starts at 1pm.
