Stocks down on global risks
Stocks down on global risks
Vietnamese shares on Thursday retreated from short gains as investors remained cautious of potential risks in the world market.
The benchmark VN Index on the HCM Stock Exchange fell 0.57 per cent to close at 712.66 points, retreating from a gain of 0.8 per cent in the previous two days.
The HNX Index on the Ha Noi Stock Exchange dropped 0.73 per cent to end at 88.47 points, extending a loss of 0.7 per cent for a second day.
Market trading liquidity was modest with nearly 189 million shares traded, worth VND3.62 trillion (US$161.2 million).
Large-cap stocks remained negative with nearly two-thirds of the 30 largest listed companies by market capitalisation in the VN30 Index declining.
Losing stocks included property developer Vingroup (VIC), dairy producer Vinamilk (VNM), brewer Sabeco (SAB), consumer goods producer Masan Group (MSN) and PetroVietnam Gas (GAS).
In industries, the realty sector performed worst with the fall of Hoang Quan Consulting-Trading-Service Real Estate Corporation (HQC), Phat Dat Real Estate Development Joint Stock Company (PDR) and Tan Tao Investment Industrial JSC (ITA).
Financial-banking firms also fared poorly. Among those companies, Bao Viet Holdings (BVH) lost 1.9 per cent, Bao Minh Insurance Corp (BMI) dropped 0.5 per cent, Vietcombank (VCB) declined by 1.4 per cent and Sai Gon-Ha Noi Bank (SHB) fell 2.7 per cent.
Pressure also rose as foreign investors were net sellers for the first time in eight weeks, recording net sell value of VND30.4 billion compared a net buy value of VND104.2 billion on Wednesday.
Thursday’s fall was proof of low investor confidence as the VN Index erased half of its two-day gains and a lack of trading orders pushed market liquidity to a five-week low, BIDV Securities Corp (BSC) said in a note.
Though the first-quarter performance of some listed companies is good and their stocks will move up in the short term, investors are still risk-averse due to fears of unstable global geopolitical conditions, BSC said.
In upcoming sessions, the VN Index is likely to fall further and short-term investors should hold their money and wait for better investment opportunities, BSC said.
