Shares gain points after SSC’s reassurance
Shares gain points after SSC’s reassurance
Việt Nam’s benchmark VN Index regained nearly 34 points, or 3.3 per cent, on Wednesday morning, following the reassurance by the State Securities Commission (SSC) to calm down investors after two blows on the stock market early this week.
On the HCM Stock Exchange, the VN Index closed the morning trade at nearly 1,045 points.
The market push was on large caps, with 28 of the top 30 largest shares gaining value in terms of market and liquidity. The shares of only one firm, Masan Group, decreased 1.6 per cent.
Financial shares were among the best gainers when many shares of banks and securities companies increased by the daily maximum limit, including HDBank, Bank for Investment and Development of Viet Nam, VNDirect Securities and HCM Securities.
On the Ha Noi Stock Exchange, the HNX-Index also rallied 3.9 per cent to end the morning trade at 120.10 points.
The overall market condition was positive, with 383 shares advancing, 94 declining and 260 remaining unchanged in the two markets.
Liquidity was modest with nearly 184 million shares, with a combined worth of VND4.3 trillion (US$189 million), being traded on the two exchanges.
The VN Index lost 8.6 per cent in the last two sessions, wiping out nearly $14 billion on Viet Nam’s stock market.
According to SSC Chairman Tran Van Dung, the local market was adversely affected by volatility in the global market due to speculation by major financial institutions that the US Federal Reserve will raise interest rates by three to four times in 2018.
The local stock market has been rising strongly in the last three months and now is a proper time for an adjustment, especially when investors tend to sell out before Tet (Vietnamese Lunar New Year) holidays.
“At this time, I expect investors to be calm and alert and avoid herd behaviour in the depressing global context,” Dũng was quoted as saying on vneconomy.vn.
“The macro-economic fundamentals in the whole economy as well as in Viet Nam’s stock market are bullish. Thus, the market is predicted to continue its strong development this year,” he said.
The afternoon trading session starts at 1pm.
