Stocks rise slightly before US vote
Stocks rise slightly before US vote
Shares slightly increased yesterday on the two local exchanges with modest trading liquidity as investors were waiting for the result of the US Presidential election.
The benchmark VN Index on the HCM Stock Exchange gained 0.3 per cent to close at 676.46 points, extending a two-day gain of 1.5 per cent.
The HNX Index on the Ha Noi Stock Exchange added 0.2 per cent to end at 81.26 points. The northern market index has advanced nearly 1 per cent after two sessions.
"The stock market opened quite positively but its growth slowed down towards the end of yesterday session as trading liquidity was weak," BIDV Securities Corp (BSC) wrote in its daily report.
"Investors were showing their cautious sentiment before the result of the US Presidential election goes public today," BSC said.
"If Hilary Clinton wins the election, Viet Nam's economy and the stock market will benefit from her policies, as she has always showed some support for free trade between the US and other countries," Bao Viet Securities Corp (BVSC) said in a note.
"On the opposite side, if Donald Trump wins it, the US may benefit local-made products with its protectionism and increase taxes on imports from other countries."
"Viet Nam's exports will definitely be affected if the US decides to go with protectionism as the world's largest economy is now our biggest trade partner with a total trade value of US$28 billion made in the first nine months," BVSC said. Weak investor sentiment resulted in a mixed performance of leading stocks such as banks, securities firms and insurance companies.
The banking sector was divided into two different half. Gainers were Vietcombank (VCB), Sacombank (STB), Military bank (MBB) and Sai Gon-Ha Noi Bank (SHB), while Eximbank (EIB), Vietinbank (CTG) and Asia Commercial Bank (ACB) were among declining stocks. Among brokerage firms, HCM Securities Corp (HCM), Sai Gon-Ha Noi Securities Corp (SHS) and VNDirect Securities Corp (VND) advanced. Two other large-cap brokers, Sai Gon Securities Inc (SSI) and Bao Viet Securities Corp (BVS) ended flat.
The insurance sector was lifted slightly by Bao Viet Holdings (BVH), BIDV Insurance Corp (BIC) and Bao Minh Insurance Corp (BMI).
Nearly 139 million shares were traded on both local exchanges worth VND2.22 trillion (nearly $99 million), an increase of 8.8 per cent in trading volume and 9.1 per cent in trading value from Monday.
