Local shares make last minute rally
Local shares make last minute rally
Despite a downtrend during most time of trading on Thursday, shares rebounded at the last minute, driven by bank stocks and cash flow into some large-cap stocks.
The benchmark VN Index on the HCM Stock Exchange (HOSE) edged up 0.06 per cent to close at 1.138,76 points, for a four-day rise of 1.36 per cent.
According to BIDV Securities JSC (BSC), the VN-Index will trade around 1,130-1,140 points and will likely continue to accumulate in this area in the near future.
The HNX Index on Ha Noi Stock Exchange (HNX) was up 0.66 per cent to end at 131,29 points, expanding its four-day rally to 2.88 per cent.
More than 313.1 million shares, worth VND7.9 trillion (US$347 million), were traded on the two local bourses.
Market breadth was negative with 221 gaining shares, 247 declining ones and 263 stocks ending flat.
The UPCoM Index on the Unlisted Public Company Market gained 0.47 per cent to stand at 61,58 points, a two-day increase of 0.53 per cent.
Foreign investors concentrated in Vincom Retail Joint Stock Company (VRE) (VND76.8 billion), Vingroup (VIC) (VND57.0 billion) and Hoa Phat Group Joint Stock Company (HPG) (VND29.2 billion). In addition, they sold a net of VND11.09 billion on HNX.
Banking stocks still maintained support for the market with JSC Bank for Investment and Development of Viet Nam (BID) reaching the ceiling price, up 6.92 per cent.
Other prominent stocks rose, supporting the uptrend of the market, including Viet Nam Joint Stock Commercial Bank for Industry and Trade (CTG), up nearly 3 per cent, Military Commercial Joint Stock Bank (MBB), increasing 3.3 per cent and Ho Chi Minh Development Joint Stock Commercial Bank (HDB), advancing 1.2 per cent.
Large-cap stocks underperformed, as 16 of the 30 largest stocks by market capitalisation in the VN30 Index suffered, pulling the large-cap index down 0.43 per cent to 1.110,26 points.
Stocks in the VN30 basket experienced wide divergence as dairy firm Vinamilk (VNM), property developer Vingroup (VIC) and Masan Group Corporation (MSN) declined, while PetroVietnam Gas Joint Stock Corporation (GAS), DHG Pharmaceutical Joint Stock Company (DHG) and Steel producer Hoa Sen Group (HSG) rallied.
According to Viet Dragon Securities Co (VDSC), indexes kept moving up slightly on moderate volumes. Cash flow focused on banking stocks.
“The breakout of the VN-Index was not entirely convincing due to the lack of liquidity. Traders should not be overly optimistic and wait for more signals,” VDSC said.
Meanwhile, BaoViet Securities (BVSC) said in its report that the market is likely to turn cautious in the next two sessions amid wide divergence among groups of stocks and unclear market trends.
“The market is forecast to see an active At-the-Closing ATC session tomorrow, influenced by the review of the two major foreign-run exchange traded funds,” it added.
