Shares kick off the new trading week in downturn on increasing market risks
Shares kick off the new trading week in downturn on increasing market risks
Việt Nam’s stock markets kicked off the new trading week in a negative zone amidst investors’ growing concerns about increasing risks.
FPT's headquarters in Phạm Văn Bạch Street, Cầu Giấy District. Shares of the company dipped nearly 1 per cent yesterday. — Photo fpt.com |
On the Hồ Chí Minh Stock Exchange, the VN-Index dropped by 0.38 per cent, closing Monday at 1,250.35 points. This marked the fourth consecutive session of decline, with a combined reduction of 2.9 per cent.
Losers outnumbered winners by 355-112, while 81 stocks closed flat.
Only three out of 25 stock groups tracked by vietstock.vn lost value, including banking and construction material, while other financial services group increased by an average of 1.1 per cent.
Notably, six of the top 10 shares lifting the VN-Index most were banks. They were BIDV (BID), Hồ Chí Minh Development Bank (HDB), Vietinbank (CTG), Techcombank (TCB), Military Bank (MBB) and LienVietPostBank (LPB) with growth between of 0.6 per cent and 2.4 per cent.
On the dark side, 10 groups lost by more than 1 per cent on average. Impacting the VN-Index most were PV Gas (GAS), Vincom Retail (VRE), Vinamilk (VNM), Mobile World Investment (MWG) and FPT Corp (FPT), which together took two points off the VNF-Index.
Liquidity declined with 876 million shares worth VNĐ20.4 trillion (US$816 million) being traded, of which the value of the put-through transactions reached VNĐ18.4 trillion, much lower than the monthly average of VNĐ24 trillion per day.
VnIndex fell after 3 consecutive weeks of gaining, along with increased trading volume, showing that downward pressure may persist next week. The current support zone for the index is situated around 1,235-1,240 points. However, attention is drawn to the risks currently faced by the market, such as i) renewed exchange rate pressures with a strong rise in the DXY index; ii) rebounding bond yields; iii) foreign investors maintaining strong net selling activities. Given the current market valuation levels, particularly for non-financial groups which are no longer low, there is concern that these factors may pose downside risks for the market.
According to Bảo Việt Securities Co (BVSC), the downward pressure may persist this week after three consecutive weeks of gains. The current support zone for the VN-Index is around 1,235-1,240 points.
However, attention is drawn to the risks currently faced by the market such as renewed exchange rate pressure with a strong rise in the DXY index, rebounding bond yields and foreign investors maintaining strong net selling activities.
“Given the current market valuation levels, particularly for non-financial groups which are no longer low, there is concern that these factors may pose downside risks for the market,” BVSC’s analyst Khiếu Trọng Huy wrote.
On the Hà Nội Stock Exchange, the HNX-Index decreased by 0.67 per cent to end at 238.08 points. Nearly 110 million shares worth VNĐ2.3 trillion changed hands.
