Investors’ confidence further eroded

The VN-Index of Ho Chi Minh Stock Exchange (HoSE) shed 1.01 points or 0.21 per cent to 482.14 points, while the HNX-Index of Hanoi Stock Exchange (HNX) or 0.46 per cent to 82.33 points.

As commercial banks are required to cap outstanding loan for non-production sector at 22 per cent in this June, flows are increasingly being withdrawn out of brokerage firms and also out of the stock market.

“The central bank is quite resolute in tightening credit. It continues to be an obstacle for the stock market in the short-term,” said Vietcombank Securities.

On the HoSE, trading value reached VND530 billion ($25.6 million), of which put-though volume making up a large part of VND246.7 billion ($11.92 million).

Liquidity on the HNX has not improved, standing at VND254.79 billion ($12.3 million) today.

Stocks strongly fluctuated around the opening prices with no certain trend on the southern bourse. Nearly a third the market was unchanged, while 126 stocks declined and 96 up.

Sacombank (STB) ended flat after more than 1.2 million shares traded. Saigon Securities Inc. (SSI), Tan Tao Investment Industry Corp. (ITA), PetroVietnam Fertilisers (DPM) were all unchanged.

The two pillar stocks Masan Group (MSN) and Vincom Corp. (VIC) also closed at the same price as opening.

Bao Viet Holding (BVH), PetroVietnam Drilling (PVD) and Hoang Anh Gia Lai (HAG) slightly fell while Eximbank (EIB) gaining and Tien Len Steel Corp. (TLH) jumped.

Mid-cap stocks led the gainers today, of which the coffee producer Vinacafe Bien Hoa JSC (VCF) jumped VND2,500 to VND57,500 while Dong Phu Rubber (DPR) up VND2,000 to VND59,000.

Among the top gainers, numerous stocks hit the ceiling or nearly hit the ceiling thanks to as tiny as 10 to 100 shares changing hands, such like Thac Mo Hydro Power JSC (TMP), Gia Lai Cane Sugar Thermoelectricity (SEC), HUD3 Investment and Constructions JSC (HU3).