VN-Index dips just below 750 points
VN-Index dips just below 750 points
The benchmark VN-Index inched down 0.05 per cent and closed Friday’s trade at 749.72, just below the new nine-year high of 750 points recorded on June 6. It was the second drop this week.
Rising caution was attributable to the market slump, as investors were concerned about a possible downward correction after profit-taking pressure increased on the major shares.
BIDV (BID), Vietinbank (CTG), PV Gas (GAS), insurer Bao Viet Holdings (BVH), FLC Faros Construction (ROS) and mobile phone retailer Mobile World Group (MWG) pushed the market down in the last minutes of Friday’s trade.
All of these shares were among the top 30 largest shares by market value and liquidity on the HCM Stock Exchange.
“The VN-Index declined below the short-term support threshold of 750 points due to weak demand at the end of the session and a steep fall of ROS shares,” analysts at BIDV Securities Co (BSC) wrote in Friday’s report.
ROS shares fell 7 per cent, the biggest daily drop capped on the HCM Stock Exchange for a second day and settled at VND105,400 (US$4.64) a share.
Money tended to shift from financial and real estate sectors to healthcare services and the rubber industry.
Major firms in these two groups included Hau Giang Pharmaceutical (DHG), Traphaco (TRA), Domesco Medical Import Export (DMC), Da Nang Rubber (DRC) and The Southern Rubber Industry (CMS), all of whom leapt between 1.7 per cent and 6.6 per cent.
Several large-cap stocks including Vinamilk (VNM), petrol retailer Petrolimex (PLX), VinGroup (VIC), Saigon Securities Inc (SSI), FPT Corp (FPT) and Masan Group (MSN) maintained growth and cushioned the market.
The market breadth remained near equilibrium with 127 stocks rising, 135 declining and 68 closing unchanged. This balance may indicate a proportion of investors were ready to buy shares when their prices decreased, BSC’s analysts wrote in the report.
They predicted the VN-Index could bounce back 750 points early next week.
On the Ha Noi Stock Exchange, the HNX-Index ended its session up 0.11 per cent at 97.36 points.
Overall liquidity dropped with a total of 239.2 million shares worth VND4.4 trillion ($194.5 million) traded in the two markets, down 29.1 per cent in volume and 26.7 per cent in value compared to Thursday’s levels.
Foreign investors continued to purchase shares on the HCM City’s exchange, picking up shares worth a net value of nearly VND43 billion. Steelmaker Hoa Phat Group (HPG) remained on the top of the most-purchased shares by foreign traders with a net buy value of VND15.2 billion.
They were also net buyers on the Ha Noi Stock Exchange, totalling a small net value of VND4.3 billion.
