VN-Index reverses course, slightly gains in late trade

Transactions at a Vietcombank in Ha Noi. The bank's shares rose more than 1.6 per cent yesterday, cushioning the market's downside risk. - VNA/VNS Photo

On the Ho Chi Minh Stock Exchange (HoSE), the VN-Index settled slightly higher, up 1.34 points, or 0.1 per cent, to 1,291.35 points. It lost nearly 17 points in the morning due to high selling pressure.

The market’s breadth, however, was still in the negative zone, with 309 stocks falling. Liquidity increased over the previous session, of which the matching value on HoSE added up 7.6 per cent to VND16.46 trillion (US$710 million), equivalent to 626 million shares.

The index’s reversal from the morning course was due to rising demand for risk assets, supporting many stocks to rebound.

The VN30-Index, tracking 30 biggest stocks on the southern market, slid by 2.67 points, or 0.2 per cent, to 1,324.37 points.

Leading the upside risk were stocks in banking, information technology, oil and energy, and realty sectors. Data compiled by vietstock.vn showed that Vietcombank (VCB) was the biggest gainer with an increase of 1.63 per cent.

Other stocks contributing to the bullish sentiment were FPT Corporation (FPT), Petrolimex (PLX), PV Power (POW), and Becamex (BCM), with POW hitting the maximum intraday rise of 7 per cent.

However persistent selling force tamed the rallies, with many big real estate and bank stocks dropping more than 1 per cent yesterday.

Vinhomes (VHM) witnessed the worst performance after plummeting 1.15 per cent. It was followed by BIDV (BID), Vingroup (VIC), TP Bank (TPB) and Eximbank (EIB), down in a range of 0.64-3.58 per cent.

Analysts from Saigon - Hanoi Securities JSC (SHS) said that on the technical front, 1,300 points is the VN-Index’s psychological resistance level, so the market is likely to face volatile session at this level.

“As the market is trading in a narrow range in a cumulative move before the next rally, short-term investors can take advantage of the correcting sessions to disburse,” they recommended.

Meanwhile, the HNX-Index on the Ha Noi Stock Exchange (HNX) marked its fifth fall in a row, ending the day at 304.15 points, down 2.66 points, or 0.87 per cent.

During the session, more than 131 stocks were traded on the northern market, worth nearly VND3.4 trillion.

Foreign investors were net buyers on both main exchanges yesterday, with a total net buy value of VND184 billion. Of which, they net bought nearly VND160 billion on HoSE and over VND24 billion on HNX.