Low crude prices pull markets down

April 20, 2017 | 17:04

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Shares fell further in the two local markets on Thursday morning as investor confidence remained low following a sharp drop in crude oil prices.

Shares fell further in the two local markets on Thursday morning as investor confidence remained low after crude prices touched a two-week low on Wednesday night.-Photo baoxaydung.com.vn

The benchmark VN Index on the HCM Stock Exchange fell 0.5 per cent to close at 713.34 points. Việt Nam’s key index had gained 0.8 per cent in the last two sessions.

The HNX Index on the Ha Noi Stock Exchange also lost 0.5 per cent to end at 88.67 points.

Market trading liquidity remained modest with around 99 million shares worth VND1.7 trillion (US$75.1 million) being traded.

The energy sector played a key role in pulling the markets down on Thursday, a response to the steep decline in oil prices, which hit a two-week low on Wednesday night.

The share prices of energy companies such as PetroVietnam Gas (GAS), PetroVietnam Mud Drilling (PVC), PetroVietnam Drilling and Well Services (PVD) and PetroVietnam Technical Services (PVS) all fell between 1.2 per cent and 1.8 per cent.

Other large-cap stocks also weighed the market down, including brewer Sabeco (SAB), dairy producer Vinamilk (VNM) and consumer goods producer Masan Group (MSN).

MSN shed 1.5 per cent after news broke that the ministry of natural resources and environment had asked the group to stop building its VND1 trillion cattle farm in the northern province of Nghe An.

The afternoon session starts at 1pm.

VNS

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