Steel shares hold market in check
Steel shares hold market in check
Shares managed a slight rise on the HCM Stock Exchange but declined on the Ha Noi market under increased selling pressure from profit-taking traders.
The VN-Index, a measure of 312 stocks on the HCM City's bourse, inched up 0.2 per cent to close yesterday's session at 684.2 points. The benchmark index was down 0.8 per cent in the last two trades.
On the Ha Noi Stock Exchange, the HNX-Index which tracks 378 stocks maintained a solid rally until the mid-afternoon session as investors increased selling to take profits. It closed down 0.3 per cent at 85.1 points. The index rose 0.4 per cent on Monday.
Slumps of steel shares weighed on the market as most of these companies lost value yesterday.
Three biggest listed steel making companies including Hoa Phat Group (HPG), Hoa Sen Group (HPG) and Pomina Steel Corp (POM) decreased between 1 per cent and 3 per cent. Smaller companies such as Nam Kim Steel (NKG) and Dai Thien Loc Corp (DTL) were down 4 per cent and 0.8 per cent, respectively.
According to analysts, investor sentiment seemed to be affected by the information that the US steelmakers have requested the Department of Commerce to check whether China is evading tax by processing some products in Viet Nam.
Besides steel shares, many heavyweight stocks such as Sacombank (STB), Military Bank (MBB), Masan Group (MSN) and Mobile World Group (MWG) also tumbled, keeping the market in check.
Only a few large-cap stocks rose slightly, including lender BIDV (BID), insurer Bao Viet Holdings (BVH) and real estate developer VinGroup (VIC), which cushioned the market.
Overall market condition was negative as the number of losing shares outnumbered that of gainers by 299-154.
Another 237 stocks closed unchanged.
Liquidity continued to improve with a total of 166.4 million shares worth a combined VND3.6 trillion (US$161.4 million) traded in the two markets by the end of the afternoon trade, up 37.5 per cent in volume and 33.3 per cent in value over Monday's figures.
Foreign investors continued their net sells on the two exchanges yesterday, offloading shares worth total net sell value of VND84 billion, down 45 per cent from the previous session's level.
