Energy stocks drive markets down
Energy stocks drive markets down
Vietnamese shares were mixed on the two local exchanges yesterday, while energy stocks dropped on lower oil prices.
The benchmark VN Index on the HCM Stock Exchange fell 0.5 per cent to close at 555.82 points, extending a three-day decline of 2.5 per cent.
On the contrary, the HNX Index finished almost unchanged at 78.49 points, rebounding from a four-day loss of 2.4 per cent.Global oil prices continued to slide and put pressure on energy stocks after Saudi Arabia said it will freeze its output only if Iran takes the same action.
US crude West Texas Intermediate (WTI) slipped 0.7 per cent to trade at US$36.54 a barrel and London-traded Brent crude fell 0.3 per cent to trade at $38.55 a barrel.
US crude has fallen 7.2 per cent over a week and Brent has lost 4.3 per cent during the same period.
On the southern bourse, PetroVietnam Gas Corporation (GAS) and PetroVietnam Drilling and Well Service Corporation (PVD) were down 2.7 per cent and 5.1 per cent, respectively, while PetroVietnam Mud Drilling Corporation (PVC) on the northern bourse slumped 3.1 per cent.
The stock markets also suffered as there was no business news good enough to boost investor confidence, Sai Gon-Ha Noi Securities Corporation (SHS) wrote in a report.
Blue chips also helped drive markets down. Food producer Masan Group (MSN) declined by 1.4 per cent after it was decided at a shareholder's meeting last week that the company will not pay dividends for 2015's business performance.
Seafood producer Hung Vuong JSC (HVG) slumped 4.9 per cent after the company announced yesterday it will issue more than 37.8 million shares to pay dividends for last year's performance.
On the other hand, brokerage firms helped lift the markets, led by Viet Nam Investment Securities Company (IVS) and VNDirect Securities Corporation (VND).
Both local markets traded nearly 168 million shares worth VND2.15 trillion (US$95.8 million), a decrease of 27 per cent from last week's daily trading value.
