Investors track market fluctuations on the Maybank Kim Eng trading floor in HCM City (Photo: VNA)Hanoi (VNA) — Shares declined on the HCM Stock Exchange onNovember 2 as the market was hit by poor investor confidence due to a lack ofsupportive information and by intraday profit-taking.
The benchmark VN Index dropped 1.14 percent to close at 833.09 points. It roseas much as 0.8 percent during the session.
The benchmark stock index retreated after gaining 0.65 percent on November 1.
More than 192.7 million shares were traded on the southern bourse, worth 4.35trillion VND (193.4 million USD).
The market trading condition remained negative with 177 declining stocks, 101gaining ones and 43 others unchanged.
The VN30 Index that tracks the movement of the 30 biggest stocks by marketcapitalisation and trading liquidity fell 0.92 percent to 827.66 points.
Among blue chips that suffered most were FLC Faros Construction (ROS), digitalretailer Mobile World (MWG), DHG Pharmaceutical Co (DHG) and logistics firmGemadept (GMD).
Small- and medium-cap stocks also traded in the negative territory such asagriculture conglomerate Hoang Anh Gia Lai (HAG), HAI Agrochemicals Co (HAI)and property developer An Duong Thao Dien JSC (HAR).
According to analysts at Sai Gon-Hanoi Securities Co (SHS) and Bao VietSecurities Co (BVSC), shares on the HCM Stock Exchange were hit by stronginvestors’ selling after the VN Index got near the 850-point level during theday.
“The market trading seems to be affected by negative investor sentiment as theyworried about November,” SHS wrote in its daily report.
November is always the most difficult time for thestock market as investors are lack supportive information, thus making themunwilling to make new purchases, it said in a note.
Stocks in the three groups finished the day in the negative territory, provingthat investor sentiment remained quite poor and the trading on the market hadbecome more risky for investors, thus reducing their opportunities to makeprofits, the two companies said.
The two companies forecast that the VN Index might fall further on November 3.This would ease selling pressure and help the market settle before any attemptsare made to boost the benchmark index up.
The nearest supportive level for the VN Index would be 830 points, SHS said. Apotential deeper level that the benchmark index could fall to is the range of815-820 points, according to BVSC.
On the Hanoi Stock Exchange, the HNX Index slumped 1.48 percent to end at103.42 points. The northern market index has decreased by a total of 2.8 percentafter the last four sessions.
More than 51 million shares were traded on the northern market, worth 727billion VND. -VNA
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