Market takes a wobble

July 11, 2012 | 00:00

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The market strongly fluctuated Tuesday and ended with both bourses falling further.

The VN-Index of Ho Chi Minh Stock Exchange (HoSE) lost 2.73 points or 0.67 per cent to 405.39 points, after breaking through the 410 points resistance level yesterday.

Meanwhile, the HNX-Index of Hanoi Stock Exchange (HNX) shed 0.31 points or 0.45 per cent to 67.89 points.

Large-cap stocks weighed the market down again to day. Key pillar stocks Masan Group (MSN), PetroVietnam Gas (GAS) and Vincom Group (VIC) all shed VND500 each. Bao Viet Holdings (BVH) lost 1.91 per cent, PetroVietnam Drilling and Well Services (PVD) 2.8 per cent.

Major banking stocks largely lost some 1 per cent each. Sacombank (STB) ended flat. Real estate blue-chip Song Da Urban & Industrial Zone Investment and Development (SJS) hit the floor, while Kinh Bac City Development Share Holding Corp. (KBC) dropped 2.91 per cent.

The worst thing worrying investors was increasingly drying out liquidity, in which trading values fell to even lower levels from already low ones. Matching value hit as low as VND315.4 billion ($15.2 million) on HoSE, while sinking to VND177.2 billion ($8.6 million) on the HNX.

Total liquidity was 28.7 million shares worth VND474 billion ($22.9 million) on the southern bourse, of 22.1 million shares worth VND220.9 billion ($10.7 million) on the northern bourse.

Major part of pennies and mid-cap stocks continued sharply falling. But a number of speculative stocks started to rebounded.

Real estate penny Vietnam Electricity Construction (VNE) hit the ceiling with more than 500,000 units matched. Real estate pennies Hoang Quan Consulting-Trading-Service Real Estate Corp. (HQC) and Ninh Van Bay Real Estate (NVT) also strongly rebounded.

On the HNX, securities company shares ended mixed. VNDirect Securities (VND) and Bao Viet Securities (BVS) modestly lost while Saigon-Hanoi Securities (SHS) and Kim Long Securities (KLS) slightly up.

A number of securities companies shares started to released Q2’s business results, in which their earnings apparently good despite the markets’ difficulties. Also, investors still concerned that those results might be made-up.