Financial firms pull markets down
Financial firms pull markets down
Vietnamese shares yesterday retreated on both local bourses as investors tried to look for profits in financial stocks.
The benchmark VN Index on the HCM Stock Exchange fell 0.8 per cent to close at 593.96 points and the HNX Index on the Ha Noi Stock Exchange dropped 0.9 per cent to finish at 80.29 points.
"Blue chips in the financial sector saw declines after investors tried to pick some profits in the stocks that had made gains previously," Sai Gon-Ha Noi Securities Corp (SHS) wrote in its report.
The three largest financial stocks – Vietcombank (VCB), insurer Bao Viet Holdings (BVH) and Sai Gon Securities Inc (SSI) – stepped back from their recent gains.
VCB yesterday dropped 2.5 per cent after the stock jumped 11.3 per cent in the previous five trading days.
BVH also pulled back 2.5 per cent from a five-day surge of 16.7 per cent, and SSI slipped 2.2 per cent after it made a three-day gain of 5.7 per cent.
Other large-cap stocks in the financial sector such as the Bank for Investment and Development of Viet Nam (BID), Sai Gon-Ha Noi Bank (SHB), HCM City Securities Corp (HCM) and IB Securities Corp (VIX) also saw falls in their stock values.
The property industry also suffered from the same reason as the banking sector. Nam Long Investment Corp (NLG) was down 0.4 per cent from a three-day increase of 3.1 per cent, and Development Investment Construction JSC (DIG) slumped 3.4 per cent from a four-day jump of 14 per cent.
Meanwhile, Vingroup JSC (VIC) and Becamex Infrastructure Development JSC (IJC) retreated from their Monday gains.
Machinery producer Viet Duc Welding Electrode JSC (QHD) dropped 7.2 per cent after rocketing 31 per cent in the previous three sessions, while seafood company Hung Vuong JSC (HVG) slid 2.7 per cent after jumping 11 per cent in three days.
On the opposite side, energy stocks helped lift the markets after crude prices continued recovering as US industry data reported a decline in stockpiles.
US crude West Texas Intermediate (WTI) added 2.1 per cent to trade at US$44.97 a barrel and London-traded Brent crude advanced 2.3 per cent to trade at $46.77 a barrel.
Local energy stocks such as PetroVietnam Gas Corp (GAS), PetroVietnam Drilling and Well Service Corp (PVD), PetroVietnam Technical Service Corp (PVS) and PetroVietnam Coating Corp (PVB) made gains.
Both local markets traded nearly 195 million shares worth VND3.56 trillion (US$158 million), a decrease of eight per cent from Tuesday's trading value.
