Vietnamese shares rebound after ‘Black Monday'
Vietnamese shares rebound after ‘Black Monday'
Shares rebounded on the two exchanges this morning after experiencing their hardest fall on Monday.
Liquidity soared as bargain investors increased buying.
On the HCM Stock Exchange, the VN-Index recouped nearly six points, or 1.11 per cent, to close at 532.77 points. The index lost more than 29 points, or 5.28 per cent, yesterday, which was referred as the "Black Monday" after global stocks suffered from the latest Chinese rout.
The market condition was positive, as the gainers outnumbered the losers by 117 to 95, while 98 others closed unchanged.
Liquidity was almost double that of yesterday morning, with nearly 103 million shares worth more than VND1.56 trillion (US$69.5 million) being traded by the end of the morning.
Blue chips led the market uptrend, as many of the top 30 shares by market value and liquidity rebounded.
Banks recovered after Deputy Governor of the State Bank of Vietnam Nguyen Thi Hong said the central bank would not devalue the dong further this year. The latest depreciation of one per cent and expansion of the dong's trading band from two per cent to three per cent two weeks ago weighed the impacts of both the yuan devaluation and the impending interest hike by the United States Federal Reserve (Fed).
BIDV (BID) was the largest gainer with a four per cent rise. Vietcombank and Military Bank (MBB) increased by more than 2.2 per cent, while Vietinbank (CTG) rose 1.7 per cent.
On the Ha Noi Stock Exchange, the HNX-Index also regained 1.86 per cent to end the morning at 74.46 points. Liquidity also increased here, with more than 32 million shares worth VND298.5 billion ($13.3 million) being exchanged.
According to Bloomberg, Viet Nam was among the few emerging markets that had the smallest loss of about 10 per cent since the beginning of this year. Fifteen of 30 emerging markets saw decline of more than 20 per cent since their peak this year.
The afternoon session will start at 1pm.
