Illustrative image (Photo: VNA)Hanoi (VNA) - Shares grew at a slower pace on April 11 on the two stock exchanges as investors displayed caution ahead of the annual shareholder meetings of big companies this month.
The benchmark VN-Index on the HCM Stock Exchange edged up 0.3 percent to close at 729.9 points. The southern market index increased 0.7 percent on April 7 and has expanded 9.7 percent this year.
On the Hanoi Stock Exchange, the HNX-Index also inched up 0.3 percent to end at 90.4 points. The northern market index has expanded nearly 13 percent this year.
Liquidity decreased with a total of 220.7 million shares worth a combined 4.4 trillion VND (192 million USD) traded in the two markets, down 14.8 percent in volume and 10.2 percent in valued compared to the daily average volume and value recorded last week.
According to analysts at Bao Viet Securities Co, the rally of indices was still supported by some large-cap stocks, while cash flows have yet to reach a necessary level, which could make the market volatile.
Banks and other financial firms such as Vietcombank (VCB), BIDV (BID), Vietinbank (CTG), Military Bank (MBB), Asia Commercial Bank (ACB) and private equity firm Masan Group (MSN) all declined.
On the other side of the fence, securities companies rose strongly, including Saigon Securities Inc (SSI), VNDirect Securities Co (VND), Saigon-Hanoi Securities Co (SHS) and BIDV Securities Inc (BSI) with gains of between 3 and 9 percent each.
Some major shares, such as insurer Bao Viet Holdings (BVH), real estate giant VinGroup (VIC), Vietjet Air (VJC), steelmaker Hoa Phat Group (HPG) and brewery Habeco (BHN) also climbed and supported the market.
“Investors should avoid aggressive buying when the index has surpassed peaks and wait for clearer signals,” Tran Hai Yen, an analyst at Bao Viet Securities Co, wrote in a note.
Major companies - Vinamilk, Vietcombank, BIDV, Saigon Securities Inc, VinGroup (VIC) and Vietjet (VJC) - will hold their annual meetings this month and information surrounding these meetings is likely to have an impact on investor psychology.
BIDV Securities Co’s analysts have warned the market could see a correction if the released earnings reports at these meetings fail to meet investor expectations.-VNA
VNA
