Shares rise on upbeat sentiment
Shares rise on upbeat sentiment
Vietnamese shares rose on Tuesday as risk appetite improved amid the authorities' efforts to curb inflation, promoting economic growth.
On the Ho Chi Minh Stock Exchange, the VN-Index rose 0.17 per cent to close at 1,258.85 points.
The VN-Index had gained 0.32 per cent to close Monday at 1,256.75 points.
Some 721.6 million shares worth VND16 trillion (US$684 million) were traded on the southern exchange.
The market's breadth was positive with 270 stocks climbing, of which 12 stocks hit ceiling prices, while 193 stocks declined.
The VN30-Index, which tracks the 30 biggest stocks on HoSE, jumped 0.37 per cent, to 1,281.44 points.
In the VN-30 index, gainers included Asia Commercial Bank (ACB), FPT Corporation (FPT), PetroVietnam Gas JSC (GAS), HDBank (HDB), Hoa Phat Group (HPG), Military Bank (MBB), Masan Group (MSN), Mobile World Group (MWG), Novaland (NVL), Tien Phong Bank (TPB), Vingroup (VIC), Vietjet (VJC) and VPBank (VPB).
In the market macro report in July, BIDV Securities Co (BSC) proposed two scenarios for the VN-Index in August.
In the first scenario, BSC said that the VN-Index will balance at the threshold of 1,200 points, heading to 1,300 – 1,320 points when liquidity improves and positive sentiment spreads in the market.
“The economy continued to show positive signs besides the efforts of the authorities in controlling inflation, promoting economic growth, and freeing up credit capital. The market is forecast to continue to differentiate based on Q2 business results. Well-performing businesses could be cash flow destinations during this period. In this scenario, the liquidity is forecast to fluctuate at US$0.8-1 billion per session.”
The second scenario occurs if the recession in the US, as well as other developed economies, continues, in addition to the slowdown of the Chinese economy as the COVID-19 pandemic develops. The VN-Index is forecast to fluctuate around 1,200 points.
According to Viet Dragon Securities Co, the dispute from the end of last week still affected the cash flow, so the market's gain was still quite modest.
The market movement, in general, was still in a state of tension and dispute, but the gainers were overwhelming on all three exchanges and many industry groups ended in the green.
“The market continued its upward journey, but the increase was still modest and disputed. However, the matching liquidity recovered, showing that cash flow actively participates and looks for opportunities, especially pennies and mid-caps. The large-cap group is still temporarily struggling and has not attracted cash flow, as shown by the plunge in order-matching liquidity on the VN30 group. However, in general, the movement of this group is still flat.
“The market is expected to rise soon after the positive signal of the first week of August. Therefore, investors can still consider buying opportunities to accumulate in stocks with positive accumulation background and attract cash flow. However, a reasonable price should also be deemed to take profits for stocks that have risen rapidly to the resistance zone to reap the rewards."
On the Ha Noi Stock Exchange, the HNX-Index rose 0.03 per cent to end Tuesday at 301.41 points.
The northern index had risen 0.48 per cent to end Monday at 301.33 points.
Liquidity also increased here with nearly 96.9 million shares worth VND1.6 trillion being exchanged.
