Market reverses course to finish lower

Market reverses course to finish lower

The VN-Index briefly climbed above 1,780 points during the morning session, before selling pressure intensified towards midday and continued into the afternoon, weighing on the broader market.

Customers conduct transactions at an Eximbank office. Shares of the lender dipped over 3.9 per cent on Monday, weighing on the market sentiment. — Photo courtesy of the bank

Benchmark indices retreated on Monday, as widespread selling in banking and securities stocks dragged down the VN-Index, while market liquidity fell from the previous session.

The VN-Index on the Hochiminh Stock Exchange (HoSE) lost 10.6 points to close at 1,763.55 points. The reversal ended the index's rising streak over the previous four sessions. 

It briefly climbed above 1,780 points during the morning session before selling pressure intensified towards midday and continued into the afternoon, weighing on the broader market.

The southern market's breadth was negative, as 205 stocks declined while 106 ticker symbols inched higher. Liquidity decreased nearly 22 per cent from Friday's trade to VNĐ13.5 trillion (US$523 million). 

Banking stocks, often regarded as the market's leading group, faced broad-based declines. Eximbank (EIB) fell 3.92 per cent, followed by VPBank (VPB), down 2.07 per cent, Sahabank (SHB), down 1.83 per cent, and VIB, down 1.76 per cent.

HDBank (HDB) dropped 1.55 per cent, Sacombank (STB) lost 1.31 per cent, MBBank (MBB) fell 1.26 per cent, and Vietcombank (VCB) declined 1.23 per cent. Techcombank (TCB) slipped 1.17 per cent, VietinBank (CTG) lost 1.13 per cent, and BIDV (BID) fell 1.46 per cent.  

The declines came as deposit interest rates were being adjusted in line with directives from the State Bank of Vietnam (SBV).

Securities stocks also performed poorly, adding to the downward pressure on the benchmark. 

Saigon - Hanoi Securities (SHS) and Tien Phong Securities (ORS) each fell 3.13 per cent, while Vietcap Securities (VCI) declined 2.3 per cent. VIX Securities (VIX) lost 1.57 per cent, VNDirect Securities (VND) fell 1.45 per cent and SSI Securities (SSI) slipped 0.75 per cent.

Real estate stocks were also predominantly lower. Dat Xanh Group (DXG) fell 3.35 per cent, Vincom Retail (VRE) declined 2.8 per cent, Development Investment Construction (DIG) lost 1.97 per cent, Vinhomes (VHM) slipped 0.62 per cent and Novaland (NVL) edged down 0.47 per cent.

Vingroup (VIC) moved against the trend, rising 0.21 per cent, while Viglacera (VGC) gained 4.04 per cent and Vietjet Air (VJC) advanced 1.77 per cent.

Energy stocks, meanwhile, largely maintained their positive momentum. PetroVietnam Refining and Petrochemical (BSR) rose 1.2 per cent, while Petrolimex (PLX) and PetroVietnam Gas (GAS) each gained 0.56 per cent. PV Drilling (PVD) edged up 0.27 per cent. 

Foreign investors continued to add pressure on the market. They net sold VNĐ892 billion on HoSE and VNĐ300 million on HNX.

FPT Corporation (FPT) was the most heavily net-sold stock by foreign investors, with net sales worth approximately VNĐ258 billion. 

Bizhub