Stocks endure another strong selloff
Stocks endure another strong selloff
Vietnamese shares yesterday extended losses for a second day on the two national stock exchanges as many large-caps in banking and securities suffered strong selling pressure.
The benchmark VN-Index on the HCM Stock Exchange (HOSE) plunged 2.59 per cent to close at 1,167 points, totaling a two-day fall of 3.1 per cent.
The HNX Index on Ha Noi Stock Exchange fell 2.15 per cent to end at 133.74 points, extending its downtrend from the previous 0.8 per cent decline.
More than 360.3 million shares worth VND10.7 trillion (US$470 million) were traded on the two local exchanges.
Declining stocks dominated the bourses, outnumbering gainers by 330 to 141, showing low investor confidence.
Stocks in the VN30 group faced a strong imbalance in the market with the number of losers three times the number of gainers. The VN30 Index lost 2.64 per cent to reach 1,137 points, with 24 declining stocks against two gainers among the 30 largest stocks by market capitalisation.
Large-cap stocks fell across the board, including dairy firm Vinamilk (VNM), property developer Vingroup (VIC), PetroVietnam Gas Joint Stock Corporation (GAS) and Masan Group Corporation (MSN).
The UPCOM Index on the Unlisted Public Company Market fell 0.93 per cent to stay at 59.86 points, totaling a three-day decline of 1.3 per cent .
Foreign Investors were net sellers of VND282.8 billion on HOSE, focusing on Ho Chi Minh Development Joint Stock Commercial Bank (VND190.4 billion), dairy firm Vinamilk (VND59.9 billion) amd Sai Gon Securities Incorporation (VND55 billion). In addition, they bought a net VND111.33 billion on the HNX.
Securities, real estate, agriculture, finance-banking, insurance and retail sectors were the worst-performing industries.
Their indices declined between 1.05 per cent and 3.58 per cent, according to vietstock.vn.
The worst securities performers included Sai Gon Securities Incorporation (SSI), down 3.9 per cent, Viet Capital Securities Joint Stock Company (VCI), losing 2.6 per cent, Ho Chi Minh City Securities Corporation (HCM), declining 5.9 per cent, VNDirect Securities Corporation (VND), decreasing 2.53 per cent and Bank for Invesment & Development of Vietnam Securities Company (BSI), down 2.55 per cent.
Large-caps in banking also suffered, with JSC Bank For Investment And Development Of Vietnam, Vietcombank, Vietinbank, Military Bank and VP Bank, losing from 2.2 to 4.4 per cent.
According to BIDV Securities JSC (BSC), investors should be cautious in the next trading session as the shakeout will be larger than today and there will be a clearer cash flow division.
Meanwhile, Bao Viet Securities Company (BVSC) said in its daily report that selling pressure increased after an overheating uptrend, bad news for the overall market. However, amid the peak season for AGMs, the market will shift upon each company’s results.
