VN-Index bounces back on blue chip recovery
VN-Index bounces back on blue chip recovery
Viet Nam's benchmark VN-Index bounced back yesterday after a two-day drop as blue chips recovered, especially aviation shares. 
On the Ho Chi Minh Stock Exchange, the VN-Index increased 0.78 per cent to close at 1,343.98 points. The southern market's index lost nearly 1 per cent in the two previous sessions.
There was no surge in money flow in the market as nearly 643 million shares worth VND19.6 trillion (US$852 million shares), a low level since the beginning of September.
Blue chips rebounded yesterday. Twenty-one of the top 30 shares by market value and liquidity gained value, of which Mobile World Investment (MWG) was the most influential share on the VN-Index.
MWG climbed 6.7 per cent to VND118,900 ($5.17) per share.
Aviation enterprises also moved positively. The national flag carrier Vietnam Airlines (HVN) leapt 6.9 per cent while Vietjet (VJC) increased 3.5 per cent. They were also two of the top 10 shares pulling the VN-Index most.
Many banks also bounced back with popular names such as BIDV (BID), Vietinbank (CTG), VPBank (VPB), Techcombank (TCB), Military Bank (MBB) and Asia Commercial Bank (ACB) gaining between 0.4 per cent and 2.3 per cent.
On the other side, heavyweights such as Vingroup (VIC), Vinhomes (VHM), Vinamilk (VNM) and Sabeco (SAB) still sank into the red.
According to Maybank Kim Eng (MBKE), the market will face challenges in September when COVID-19 has brought the economy to a halt, thus the general sentiment of investors has now turned to be defensive.
"However, with better vaccination roll-out in the fourth quarter and 2022, Viet Nam is expected to be able to reopen from October and the economy can rebound strongly from the third quarter decline," it said in a September report.
MBKE's analysts expect the VN-Index to consolidate in the longer term which will offer opportunities to buy good stocks at very reasonable valuations.
On the Ha Noi Stock Exchange, the HNX-Index extended its rallying streak to 10 consecutive sessions, rising 0.91 per cent to end at 350.44 points.
Liquidity continued to decline, however, to just 124 million shares worth nearly VND2.6 trillion.
