Shares nosedive on panic sell-off
Shares nosedive on panic sell-off
Vietnamese stocks extended losses on Friday as panic selling flooded the market, following the sharp fall of large-cap stocks.
The VN-Index on the Ho Chi Minh Stock Exchange (HoSE) closed the day at 1,019.82 points, a decrease of 3.65 per cent.
The market breadth was negative with more stocks decreasing, of which 31 stocks inched higher and 453 reduced.
More than 742 million shares traded, equivalent to a value of VND14.6 trillion (US$587.9 million).
The 30 biggest stocks tracker VN30-Index posted a loss of 4.05 per cent, to finish Friday at 1,010.57 points. Of the VN30 basket, one stock climbed, while 28 declined and one ended flat.
Banking stocks suffered massive selling force, with losers including Techcombank (TCB), Sai Gon Thuong Tin Commercial Joint Stock Bank (STB), Military Bank (MBB) and Vietnam International Bank (VIB), Sai Gon-Ha Noi Bank (SHB), Asia Commercial Bank (ACB), and Vietinbank (CTG), VPBank (VPB), Tien Phong Bank (TPB) and Lien Viet Post Bank (LPB).
Of them, the worst performers were Vietinbank, Techcombank and Sai Gon Thuong Tin Commercial Joint Stock Bank, all hitting the daily limit decline of 7 per cent.
Some other large-caps in the VN-30 basket were Mobile World Group (MWG), SSI Securities Co (SSI), Bao Viet Holdings (BVH), FPT Corporation (FPT), Khang Dien House (KDH), Masan Group (MSN) and Viet Nam National Petroleum Group (PLX). They fell between 5 per cent and nearly 7 per cent each.
“In general, the supporting money flow is still reserved and indecisive, leading to the market's failure to regain. The conservative state continued, showing that the market is still afraid of the pressure from the Gap area, down 1,063 – 1,073 points,” said Viet Dragon Securities Co.
“The market is expected to weaken in the next session to re-test supply and demand. Therefore, investors need to slow down to observe and evaluate the state of the market. At the same time, new purchases should be limited, and portfolio restructuring may be considered to tighten risks.”
On a sector basis, all 25 sector indices on the stock market lost ground, including insurance, wholesale, construction, logistics, agriculture, real estate, retail, seafood production, construction materials, securities, rubber production, plastic and chemical production, banking, oil and gas, IT, food and beverage, and healthcare.
The HNX-Index on the Ha Noi Stock Exchange (HNX) also ended lower. The northern market index declined 3.75 per cent, to close at 217.41 points.
More than 88.6 million shares were traded on the HNX, worth VND1.3 trillion.
