Investors hang tough despite fuel rise

The ministries of Finance and Industry and Commerce have okayed an increase in the price of petrol by 10 per cent or VND2,000 per litre and 15.3 per cent or VND2,800 per litre for diesel oil, effective from 10.00pm on March 29.

The price hike translated into a sharp fall on both the two bourses in the session’s opening. The Ho Chi Minh Stock Exchange (HoSE), however, turned around to rise by the end, helped by investors’ large demand for cheap shares.

The sellers, meanwhile, were hesitant to sell their hold at low prices, pushing trading volumes down to over 28 million shares worth VND667 billion ($32.2 million).

Foreigners reduced their selling to 858,000 shares, with net buying of 1.7 million shares worth VND57 billion ($2.8 million).

At the close, the benchmark VN-Index added 2.16 points or 0.47 per cent to 460.04 points.

Bao Viet Holding (BVH) added 3.45 per cent, Vincom Corp. (VIC) hit the ceiling, while Eximbank (EIB), Masan Group (MSN) and PetroVietnam Finance (PVF) were slightly up.

Meanwhile, numerous major stocks gave back, among them Vietinbank (CTG), Sacombank (STB) and Saigon Securities Inc. (SSI). PetroVietnam Fertilisers (DPM) and Hoa Phat Group (HPG) were also among the droppers.

Some 141 stocks declined on the southern bourse, nearly doubling the 76 gainers.

On the Hanoi Stock Exchange, the HNX-Index fell 0.46 points or 0.5 per cent to 91.48 points.

Major stocks fell, among them PetroVietnam Construction (PVX), Vinaconex (VCG) and PetroVietnam Northern Gas (PVG).

Habubank (HBB) and Saigon-Hanoi Bank (SHB) both gave back while Asia Commercial Bank (ACB) were unchanged.

Securities company shares continued to be among the most active stocks on the northern bourse. Investors strongly bid for Kim Long Securities (KLS) and Bao Viet Securities (BVS), which had been put under warning status yesterday due to loss performances, preventing them from a sharp fall.

KLS shed 1.9 per cent and BVS was off 3.45 per cent.