Bank, steel stocks pull market down
Bank, steel stocks pull market down
Shares declined slightly on both local exchanges yesterday as bank and steel stocks lost rising momentum and foreign investors recorded the highest net sell value since the beginning of 2017.
The benchmark VN Index on the HCM Stock Exchange closed at 686.96 points, nearly flat compared to Wednesday’s closing level of 687.16 points.
The HNX Index on the Ha Noi Stock Exchange inched down 0.2 per cent to end at 83.29 points. The northern market index retreated after rising a total of 2.7 per cent in four consecutive sessions.
Market trading liquidity was modest. Nearly 136.9 million shares were exchanged by investors, worth VND2.32 trillion (US$103.2 million).
Bank stocks were on the defensive side yesterday as they were hit by profit-taking. According to BIDV Securities Corp (BSC), bank stocks were the key factor that prevented the VN Index from reaching the testing level of 690 points.
Of the nine listed banks, Vietcombank (VCB) dropped 1.4 per cent, Vietinbank (CTG) and Bank for Investment and Development of Viet Nam (BID) shed 0.6 per cent each, while Asia Commercial Bank (ACB), Sai Gon-Ha Noi Bank (SHB) and Eximbank (EIB) ended flat.
Steel producers, including Hoa Phat Group (HPG), Hoa Sen Group (HSG) and Tien Len Steel Joint Stock Company (TLH) also decreased following gains made in the previous two days.
HPG slid 0.8 per cent, HSG and TLH slipped 1.2 per cent each. Those stocks gained a total 2 per cent, 2.2 per cent and 2.8 per cent during Tuesday and Wednesday trading sessions.
In addition, foreign investors recorded the highest net sell value since the beginning of this year and that was also a factor driving down domestic investor sentiment.
Foreign net sell value yesterday was around VND189.7 billion with a focus on offloading stakes in HPG, HSG and VCB. On Wednesday, foreign investors bought a net value of VND44 billion.
On the opposite side, brewer Sabeco (SAB), Faros Construction Corporation (ROS) and energy stocks were the ones that helped balance the market trading.
SAB rose 0.3 per cent to total a 3 per cent increase after two sessions, while ROS added 0.7 per cent to extend its rally to 23 consecutive days since December 12 with a total gain of 20 per cent.
The energy sector achieved a slight increase, driven by PetroVietnam Gas Corp (GAS), PetroVietnam Coating Corp (PVB) and PetroVietnam Drilling and Well Services Corp (PVD) after oil prices advanced for a second day on global markets.
