Selling pressure makes market shake

An investor follows transactions at Sài Gòn Securities Inc (SSI) in Hà Nội. — VNS Photo Đoàn Tùng

HÀ NỘI — The benchmark VN Index rose sharply in the morning session but narrowed its gains because of increased profit-taking pressure during across the counter trading on Tuesday.

The VN Index on the HCM Stock Exchange (HOSE) advanced 0.0 四 per cent to close at  一 一 七 一. 七 三 points. The market reached a new record high, or intraday high, at  一, 一 八 七 points but heavy selling pressure forced the index to decelerate in the last minutes of trading.

The Index gained  一. 五 三 per cent to close at  一, 一 七 一. 二 二 points on Monday.

The HNX Index on the Hà Nội Stock Exchange (HNX) dropped 0. 二 九 per cent to end at  一 三 三. 二 九 points. It also decreased  一. 六 二 per cent to end at  一 三 一. 八 八 points in the previous session.

More than  三0 五. 四 million shares, worth VNĐ 八 trillion (US$ 三 五 四 million), were traded on the two local bourses.

Market breadth was negative with  二 一 九 gaining shares,  二 三 七 declining ones and  二 七 九 stocks ending flat.

The UPCoM Index on the Unlisted Public Company Market increased 0. 二 八 per cent to stand at  六0. 二0 points. The index gained  一. 一 九 per cent to end at  六0.0 三 points in the previous session.

Foreign investors today were net sellers of VNĐ 三 七 九. 一 五 billion on HOSE. They concentrated on dairy firm Vinamilk (VNM) (VNĐ 一 七 五. 三 billion), Vietcombank (VCB) (VNĐ 二 九. 二 billion) and Bank for Investment and Development of Việt Nam (BID) (VNĐ 二 四. 五 billion). In addition, they sold a net of VNĐ 五 六. 七 四 billion on the HNX.

Large-cap stocks underperformed, as  一 七 of the  三0 largest stocks by market capitalisation in the VN 三0 Index decreased. Some gainers among those stocks helping support the market included dairy firm Vinamilk (VNM), climbing  二. 二 per cent; property developers Novaland (NVL), reaching the ceiling price and up  六. 六 per cent; and Vietjet Aviation Joint Stock Company (VJC), moving up  一. 九 per cent.

On the negative side, petroleum stocks continued to correct and were among those that weighed on the stock market. Laggards in the industry included PetroVietnam Gas Joint Stock Corporation (GAS), down  二. 一 六 per cent, PetroVietnam Drilling Well Services Corporation (PVD), losing  六. 五 一 per cent and PetroVietnam Technical Services Corporation (PVS), dropping  八. 九 per cent.

According to Bảo Việt Securities (BVSC), the global stock recovery had significantly lessened the risk for a strong correction of VN-Index.

However, given the current high profit-taking pressures, the market will likely experience a slight correction amid high divergences among stock groups in the coming sessions, BVSC said.

“In the trading session tomorrow, the action of catching the bottom of the stocks from the correction last week may lead to an increase in selling pressure,” BIDV Securities Co (BSC) said in its daily report. — VNS