VN-Index gains for second day

VN-Index gains for second day

However, liquidity decreased while foreign investors resumed net selling, albeit at a modest value of nearly VNĐ11 billion on HoSE.

Outside Gelex Electricity's THIBIDI transformer manufacturing plant. Shares of the company logged the biggest daily gain of 7 per cent on Thursday, supporting the market's uptrend. — Photo gelex-electric.com

The stock market displayed a mixed performance on Thursday, characterised by indecision as it struggled to gain traction amid weak liquidity.

On the Hochiminh Stock Exchange (HoSE), the VN-Index closed slightly higher, gaining 3.96 points, or 0.24 per cent, marking its second consecutive increase.

The trading session opened strongly, with the index climbing nearly 15 points at one point.

However, significant resistance was encountered around the 1,685-point mark, leading to a swift adjustment as selling pressure intensified. The index hovered around this level until the lunch break.

Closing the exchange, market breadth fell into the negative zone, with the number of decliners surpassing that of gainers by 171 to 137.

Liquidity on HoSE registered over VNĐ21.2 trillion (roughly US$804 million), a decrease of 17 per cent from the previous sessions. This marks the second consecutive day of declining liquidity, raising concerns among investors about the overall market momentum.

In contrast, the VN30-Index decreased 2.37 points, or 0.12 per cent, to 1,921.18 points. In the VN30 basket, 16 stocks declined, while 13 inched higher and one ended flat.

Vingroup emerged as a critical support for the market, increasing by 1.2 per cent with a liquidity of nearly VNĐ584 billion, ranking fifth in the market.

Other stocks such as Gelex Electricity (GEE), Vinpearl (VPL), Vietnam Maritime Commercial Joint Stock Bank (MSB) and PV Gas (GAS) also contributed positively to the index. GEE and MSB saw maximum increases, boosting overall market sentiment.

Conversely, Vietjet Aviation's VJC stock had a significant negative impact on the broader index. VJC closed down by 2.8 per cent, settling at VNĐ202,000 after hitting a session low of VNĐ193,300. This adjustment follows a period of significant gains for the airline, indicating a market correction.

The HNX-Index on the Hanoi Stock Exchange (HNX) ticked down, finishing at 261.43 points. The index lost 0.48 points, or 0.18 per cent.

Foreign investors resumed net selling, albeit at a modest value of nearly VNĐ11 billion on HoSE.  

Vietcombank Securities (VCBS) noted the emergence of short-term profit-taking pressure as the index approached the resistance range of 1,690-1,700 points. This situation has led to a cautious liquidity environment, falling below the average of the last 20 sessions.

VCBS analysts recommend that investors maintain positions in stocks showing upward or sideways trends to consolidate support levels. They also emphasise the importance of reviewing portfolios, particularly for stocks that underperform relative to the market.

Investors are advised to keep their account exposure below 60 per cent to mitigate short-term volatility risks. 

Bizhub