Trading transactions are carried out at Alpha Securities Company (Photo: VNA)Hanoi (VNA) - Shares rebounded on the HCM StockExchange on November 1 as large-cap stocks returned to positive territory. Theoverall market trading conditions remained negative, however, and signaled morevolatility in the near future.
The benchmark VN Index on the HCM Stock Exchangegained 0.65 percent to close at 842.71 points. It fell 0.94 percent on October31.
More than 172.2 million shares were traded onthe southern market, worth 3.85 trillion VND (171.4 million USD).
The trading figures posted a decrease of 10.3 percentin volume and 4.6 percent in value compared to October 31.
Despite the gains, the market was stilldominated by declining stocks, which outnumbered gainers by 159 to 108, while48 others ended flat.
Among all stocks, the large-cap group performedwell with the VN30 Index that tracks the performance of the 30 biggest stocksby market capitalisation and trading liquidity increasing by 0.45 percent to835.38 points.
The VN30 basket was led by FLC FarosConstruction (ROS), PetroVietnam Drilling and Well Services (PVD), dairyproducer Vinamilk (VNM) and PetroVietnam Gas (GAS).
PVD and GAS gained 5 percent and 2.1 percent,bolstered by crude prices that rose 1.25 percent to trade at 55.06 USD a barrel,for total growth of 7.3 percent since October 19.
Meanwhile, VNM advanced 2.6 percent after theState Capital Investment Corporation announced it would sell 3.33 percent ofthe State’s capital in the largest dairy company at the starting price of 150,000VND (6.61 USD) per share. The auction will take place on November 10.
Bank stocks on the HCM Stock Exchange alsoperformed well with Bank for Investment and Development of Viet Nam (BID) andSacombank (STB) among the strongest gainers.
Though the VN Index posted good growth on November1, analysts at Sai Gon-Hanoi Securities (SHS) remained pessimistic about themarket’s future movement.
Investors were not active enough as they weretrying to take over large-cap stocks while continuing to withdraw from small-and mid-cap stocks, leading to strong divergence on the market, SHS said in itsdaily report.
That increased the potential risk for the marketand investors could hardly find any opportunities given the current marketconditions, the Hanoi-based brokerage company said.
As November will likely remain the mostdifficult time for the stock market, as it has been in each year since 2009,the VN Index could fall back to the level of 840 points on November 2, SHSsaid.
On the Hanoi Stock Exchange, the HNX Index wasdown 0.17 percent to end at 104.98 points. The northern market index hasdropped total 1.4 percent in the last three sessions.
Market trading liquidity was almost unchangedfrom the previous trading day, with more than 46 million shares traded – worth 494billion VND.-VNA
VNA
