(Photo: VNA)Hanoi (VNS/VNA) -Vietnamese shares fell on August 9 as strong selling pressure weighed downlarge-cap stocks and listed firms suffered from negative news of themacro-economy.
The benchmark VN-Index on the HCM Stock Exchange dropped 0.29 percent to closeat 963.50 points, retreating from a nearly one percent increase made on August8.
The HNX Index on the Hanoi Stock Exchange narrowed its gain form as much as 1.1percent to 0.12 percent to end the session at 107.80 points. The northernmarket index has risen total 2.1 percent in the last three days.
More than 207.8 million shares were traded on the two local exchanges, worth 4.9trillion VND (217 million USD).
The trading figures were up 3.6 percent in volume and 14.6 percent in valuecompared to August 8.
The decline of the stock market on August 9 was mostly due to the“profit-taking of the investors who invested in the bottom as well as losscutting of those who invested in the last few months,” BIDV Securities JSC(BSC) said in its daily report.
The three key industries – real estate, energy and banking – were the majorfactors to weigh down the overall performance of the market.
Those sector indices fell between 0.7 percent and 3.3 percent, dataon vietstock.vn showed.
Bank stocks were hit by profit taking. Bank for Investment and Development of Vietnam(BID) dropped 1.2 percent after having made a four-day rally of total 11.4 percent.
Others such as Vietcombank (VCB), Techcombank (TCB) and MBBank (MBB) also endedin negative territory.
Energy stocks headed down following a slump of oil prices on night. Brent crudelost 3.2 percent to finish August 8 at 72.28 USD a barrel.
Among energy stocks that suffered from the drop in oil prices were PetroVietnamTechnical Services (PVS), PetroVietnam Coating Corp (PVB), and PetroVietnamDrilling and Well Services (PVD).
Property developers such as Vingroup (VIC), Vincom Retail (VRE), HCM CityInfrastructure Investment JSC (CII) and FLC Group (FLC) might be affected by astronger determination of the State Bank of Vietnam (SBV) to tighten creditgrowth in the remaining months of the year.
“This is bad news for the stock market as monetary policy orientation of theSBV has been closely correlated with money flows running into the stockmarket,” Bao Viet Securities JSC (BVSC) said in its report.
On the opposite side, insurance companies, brokerages, information andtechnology firms, and food and beverage producers were among those thatsupported the market.
Positive outlook would continue for local stocks in coming sessions as cashflow increased despite the market’s decline, Sai Gon-Hanoi Securities JSC (SHS)said.
August 9’s fall was seen as a technical correction of the market, not a sign ofthe market starting its downtrend, SHS said, adding that the market maycontinue rising to 970 points in coming sessions.-VNS/VNA
