VN Index falls for 2nd day on banks
VN Index falls for 2nd day on banks
Viet Nam’s benchmark VN Index extended losses for a second session on Friday as investors offloaded their stakes to avoid negative effects of macroeconomic factors.
The HCM Stock Exchange index fell 0.5 per cent to finish the week at 712.21 points, having fallen 0.6 per cent after a four-day increase of 1.3 per cent.
The last two declining sessions also erased all gains the VN Index made in the previous four days. It finished the week slightly lower than last week’s closing level of 712.62 points.
“The VN Index has broken the support level of 715 points with poor investor sentiment as investors tried to avoid incoming negative effects, which caused by international macroeconomic factors such as the volatile crude prices and the chance of a US interest rate increase,” BIDV Securities Corp (BSC) said in its report.
The fall of Viet Nam’s benchmark index yesterday was closely attached to the decline of the banking sector, the Ha Noi-based brokerage company said.
In the banking sector, Vietcombank (VCB), MBBank (MBB), Vietinbank (CTG) and Bank for Investment and Development of Viet Nam (BID) were decliners with losses ranging between 0.8 per cent and 1.5 per cent.
Yesterday’s decline was worsened by other leading stocks such as the southern brewer Sabeco (SAB), PetroVietnam Gas Corp (GAS), DHG Pharmaceutical JSC (DHG) and dairy producer Vinamilk (VNM), BSC added.
Property and other large-cap stocks such as Faros Construction Corp (ROS), Vingroup (VIC), Hoa Phat Group (HPG) and FPT Corporation (FPT) increased to help the market avoid falling deeper.
BSC added that liquidity has remained high in the last five trading days, showing that investors were trying to sell their assets.
Yesterday, market trading volume increased one per cent from Thursday’s number with more than 197.4 million shares being exchanged, however, trading value dropped 3.8 per cent to VND3.55 trillion (US$158 million).
On the Ha Noi Stock Exchange, the HNX Index gained 0.5 per cent to end at 88.13 points. The northern market index has rallied a total 1.8 per cent in the last four sessions, which helped the index gain 1.7 per cent week on week.
More than 48.8 million shares were traded on the northern bourse worth VND580 billion, increases in trading volume and value from Thursday.
