Market calms its nerves

August 28, 2012 | 17:00

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The market parachuted its fall Tuesday as investors recovered their confidence, after rumours about financiers being arrested settled down.

The VN-Index just shed 0.41 points or 0.11 per cent on Ho Chi Minh Stock Exchange (HoSE), after dropping nearly 7 points during the session. The benchmark ended at 385.78 points.

Several arrest rumours, which have risen since the arrest of banking tycoon Nguyen Duc Kien, settled down in recent days. Tram Be, vice chairman of Sacombank, denied rumours he had been arrested.

Yesterday, Masan Group’s chairman Nguyen Dang Quang also appeared in his company’s 10th ceremony eliminating doubts about arresting this financier.

Bottom fishing increased today, raising up several stocks particularly blue-chips. PetroVietnam Gas (GAS), Petrolimex Gas (PGC) strongly increased.

Demand for shares increased in health care, services and consuming stocks. Kinh Do Corp. (KDC) was up 2.4 per cent. Hau Giang Pharmaceuticals hit the ceiling while Vinamilk (VNM) gaining 1 per cent.

Even banking stocks Military Bank (MBB) and Vietcombank (VCB) significantly rose with high bidding volumes. Sacombank (STB) ended flat.

Up to 101 stocks ended up on the southern bourse, among them 25 hitting the ceiling. Some 140 stocks were down, with 71 stocks hitting the floor.

Matching value kept modest at VND484.2 billion ($23.4 million) on HoSE, while put-through value staying low. Some 41.2 million shares worth VND539.5 billion ($26.1 million) changed hands.

Speculative cash flows proved more active on the Hanoi Stock Exchange (HNX). Several leading stocks rallied, among them VNDirect Securities (VND) was up 2.1 per cent, while PetroVietnam-family stocks like Petrovietnam Technical Services Corp. (PVS), PetroVietnam Southern Gas (PGS) and PetroVietnam Northern Gas (PVG) up 2-3 per cent each.

The matching volume of top active stocks on the HNX also amounted to four to five million units each.

Decliners and advancers ran nearly even on the bourse, with 103 off and 99 up. The benchmark HNX-Index shed 0.58 points or 0.96 per cent to 59.73 points.

But, liquidity still reduced to 31.6 million shares worth VND279 billion ($13.5 million) on the northern bourse.