Shares recover from early losses

Shares recover from early losses

Vietnamese stock markets halted two days of sharp decline and ended in the green yesterday, with gainers outnumbering losers three to one.

At the HCM City Stock Exchange, the VN-Index rose by 0.84 per cent to 593.32 points. Trading value reached VND2.45 trillion (US$115.5 million), a 15.5-per cent decline, as trading volume reached 152.6 million shares.

The VN30 Index, representing the performance of the top 30 shares, managed a 0.82-per cent increase to 628.80 points largely because of the gains of 21 blue chips. Among them, property developer FLC Group, which hit the ceiling price, had a surge in volume to a record high of more than 50 million shares.

Only four stocks retreated, including Eximbank, Kinh Do Confectionery, Military Bank and property giant Vingroup.

At the Ha Noi Stock Exchange, the HNX-Index also rallied by 0.88 per cent to 90.43 points. Both trading value and volume decreased over Wednesday's washout session to reach VND993.8 billion ($46.8 million) and nearly 66.2 million shares.

The HNX30 Index, tracking the northern bourse's 30 largest stocks, added 0.84 per cent to 183.05 points.

Recent information concerning a draft policy on increasingly tightening loans for securities trading has adversely affected investor sentiment.

According to Bao Viet Securities analyst Tran Duc Anh, while the draft has yet to be agreed on and data about bank loans to the stock market have yet to be fully published, investors will remain cautious.

"In addition, the recent increase in the exchange rate, which may be extended, will also have an impact on money in the stock market," Anh said.

He advised investors to sell shares when the market rises to reduce risks. "Bottom-fishing should be considered only when unsupportive information is no longer in effect," Anh added.

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