Some stocks reclaim losses thanks to bargain-hunting, market down overall
Vietnamese shares slid on Tuesday but some reclaimed ground lost in the previous day's sharp sell-off as large-caps were picked up by bargain-hunting.
The benchmark VN-Index on the Ho Chi Minh Stock Exchange fell 1.11 per cent to close at 659.21 points.
The VN-Index dived 6.08 per cent on Monday.
The benchmark narrowed its losses as investors poured cash into large-caps on hopes the market had already reached its bottom.
More than 245.1 million shares were traded on the southern bourse, worth VND4.1 trillion (US$177 million).
Ten of the 30 largest stocks by market capitalisation and trading liquidity in the VN30 basket advanced to cushion the market.
Large-cap gainers included insurer Bao Viet Holdings (BVH), PetroVietnam Gas (GAS), dairy producer Vinamilk (VNM), and Bank for Investment and Development of Vietnam (BID).
The four large-cap stocks rose between 2.6 per cent and 7 per cent.
But the large-cap tracker VN30-Index slipped 1.17 per cent to close 625.43 points, dragged by property developers Vincom Retail (VRE), Vingroup (VIC) and Vinhomes (VHM), sugar firm Thanh Thanh Cong-Bien Hoa JSC (SBT), and FLC Faros Construction (ROS), which tumbled 6.8-7.0 per cent.
“Uncertainties surrounding COVID-19 were exacerbated and risks posed by the virus are inherently unpredictable. This has negatively impacted the global and domestic stock markets,” said Sai Gon-Ha Noi Securities Co (SHS).
The S&P 500 Index sank 3 per cent on Monday, down more than 30 per cent from its February 19 peak.
According to Bao Viet Securities Co, the VN-Index is currently receiving support from 600-650 points.
“The index may possibly retest this level several times, however, the downward momentum is showing signs of a halt,” the company said.
“Besides, several stock sectors have been oversold for a relatively long while, therefore, a short-term retracement is expected.”
“However, the index remains under the negative influence of unexpected movements of the COVID-19 pandemic, foreign investors’ net selling pressure and negative movements of the global markets,” it said.
Foreign investors net sold VND661.72 billion on the HOSE, including Masan Group (MSN) (VND113.61 billion), Hoa Phat (HPG) (VND101.75 billion) and Vincom Retail (VRE) (VND81.96 billion). They were net sellers on the HNX with a value of VND44.43 billion.
On the Ha Noi Stock Exchange, the HNX-Index inched up 0.5 per cent to end Tuesday at 96.95 points.
The HNX-Index plummeted 5.24 per cent on Monday.
Nearly 66.67 million shares were traded on the northern bourse, worth VND618 billion.