VN-Index escapes downtrend on bottom-fishing demand

VN-Index escapes downtrend on bottom-fishing demand

The energy sector continued to shine amid strong capital inflows, with many experiencing price increases.

An investor conducts a transaction at a trading office of SSI Securities. Shares of the securities firm surged nearly 3.4 per cent on Wednesday, supporting the VN-Index's recovery. — Photo courtesy of SSI

 After two consecutive sessions of sharp declines driven by a global sell-off triggered by escalating tensions in the Middle East, the Vietnamese stock market experienced a choppy session on Wednesday.

On the Hochiminh Stock Exchange (HoSE), the VN-Index notably reversed its downward trajectory, closing higher by 5.13 points, or 0.28 per cent, at 1,818.27 points.

During the morning session, the index fell to as low as 1,767 points, ultimately ending the morning close near 1,790 points, reflecting a decline of over 23 points and losing the pivotal 1,800 mark.

In contrast, another benchmark index - HNX-Index - continued to face downward pressure. The HNX-Index on the Hanoi Stock Exchange (HNX) fell by 2.16 points, or 0.83 per cent, to 257.85 points.

Market breadth was heavily leaned towards the sell side, with 551 stocks declining compared to only 226 advancing. 

The VN30-Index, tracking the 30 biggest stocks on HoSE, also recorded a marginal decline, retreating 2.82 points, or 0.14 per cent, to 1,956.53 points.

Liquidity remained robust, with total trading value on the HoSE reaching over VNĐ48 trillion (US$1.8 billion), up over 9 per cent from the previous session. This indicates that capital flow remains active despite a cautious market sentiment.

The energy sector continued to shine amid strong capital inflows. Petrovietnam Transportation Corporation (PVT) soared to its ceiling price, while companies like Binh Son Refining and Petrochemical JSC (BSR), Petrolimex (PLX), Petrovietnam Chemical and Services JSC (PVC) and PV Gas (GAS) also experienced price increases. 

The financial services sector displayed noticeable strength in the afternoon session. 

Vietcap Securities (VCI) surged to a ceiling price, while SSI Securities Corporation (SSI) rose by 3.37 per cent. 

Other financial stocks like Ho Chi Minh City Securities (HCM), VNDirect Securities (VND), VPS Securities (VCK) and MB Securities (MBS) also recorded gains, ranging from 2.45 per cent to 4.51 per cent. 

On the downside, the industrial sector faced substantial pressure, with stocks like PC1 Group (PC1), Viconship (VSC) and Power Engineering Consulting 2 (TV2) hitting their floor prices. Several other stocks, including Gelex Group (GEX), Hai An Transport and Stevedoring (HAH) and Gemadept (GMD), dropped significantly by 3-7 per cent.

Foreign investors continued their trend of net selling, offloading over VNĐ1.68 billion on HoSE and nearly VNĐ78.7 billion on HNX. 

Bizhub