Market reverses course on bottom-fishing demand

Market reverses course on bottom-fishing demand

The whole market breadth returned to positive territory, with 367 stocks increasing while 236 stocks declined and 206 stocks stayed at reference prices.

A PNJ store in Aeon mall Hà Đông. Shares of the company hit the biggest daily gain of 7 per cent on Tuesday, supporting the market's recovery. — VNS Photo Ly Ly Cao

The stock market reversed course on Tuesday after a heavy sell-off in the previous session, with the VN-Index ending higher as buyers returned selectively.

The benchmark VN-Index, representing the Hochiminh Stock Exchange (HoSE), closed up 6.09 points to 1,806.63 points. 

Following the sharp drop on Monday, investor sentiment remained cautious from the start of the session due to lingering selling pressure, pushing the index into red territory and even dropping over 26 points in the early trade.

On the Hanoi Stock Exchange (HNX), the HNX-Index gained 5.44 points to 297.34 points.

The whole market breadth returned to positive territory, with 367 stocks increasing while 236 stocks declined and 206 stocks stayed at reference prices.

Liquidity, however, remained relatively weak. Total trading value across the market reached about VNĐ16 trillion (US$609 million), down more than 30 per cent compared with the previous session.

Within the VN30 basket, conditions were more favourable, with 19 stocks rising and 10 declining, while Vietinbank (CTG) was reported to hold its reference price. 

The VN30-Index, therefore, increased by 6.22 points to 1,946.06 points, acting as a key driver behind the VN-Index's reversal.

Major contributions to the rebound in the VN-Index came from several tickers, including Masan Consumer Corporation (MCH), PV Gas (GAS), PetroVietnam Refining And Petrochemical Corporation (BSR), Vietnam Rubber Group (GVR), Asia Commercial Joint Stock Bank (ACB), BIDV (BID), Vietcombank (VCB) and Petrolimex (PLX). These stocks rose in a range of 0.5-5.6 per cent. 

Notably, Phu Nhuan Jewellery (PNJ) reportedly saw a surge in bottom-fishing buying after multiple consecutive sessions of heavy selling. At the close, PNJ increased to the ceiling at VNĐ46,900 per share.

Even so, the stock price is still in the lowest zone in more than a year and remains significantly below the level after information that a former CEO of P-Lab, PNJ's subsidiary, was prosecuted in connection with an alleged diamond smuggling case involving more than 28,000 diamonds.

On the other side, the Vin-related stock group continued to pressure the market, with Vingroup (VIC) down 1.1 per cent, Vinhomes (VHM) dropping 1.5 per cent, Vinpearl (VPL) falling 1.3 per cent and Vincom Retail (VRE) plunging 1.2 per cent. 

They were also listed among the largest point drags on the VN-Index.

Foreign investors continued to sell net on HoSE, with net selling of nearly VNĐ196 billion. 

Bizhub