Local stocks dragged by profit-making attempts

Wednesday, Oct 28, 2020 06:38

Sugar is packaged at a factory of Thanh Thanh Cong-Bien Hoa JSC (HoSE: SBT). The company shares dipped 5.7 per cent on Tuesday. — Photo ttcsugar.com.vn

Vietnamese shares declined on Tuesday as selling mounted and hit local stocks across a wide range.

The benchmark VN-Index on the Ho Chi Minh Stock Exchange could not hold onto the resistance of 950 points, ending down 0.46 per cent to 946.47 points.

The index gained as much as 0.41 per cent during the day. It lost 1.09 per cent on Monday after having risen total 4.62 per cent since October 9.

The large-cap, mid-cap and small-cap trackers all declined on Tuesday. The losses were recorded between 0.45 per cent and 1.07 per cent.

In the large-cap basket VN30, 16 of the 30 largest stocks by market capitalisation and trading liquidity were taken down while seven increased.

Among large-cap decliners were Sacombank (STB), sugar company Thanh Thanh Cong-Bien Hoa JSC (SBT), Military Bank (MBB), mall operator Vincom Retail (VRE), SSI Securities (SSI) and tech group FPT Corp (FPT).

These large-cap stocks were down between 1.3 per cent and 5.7 per cent.

Brokerage, mining and energy, technology, consumer, and banking were among the key sectors that suffered on Tuesday.

The VN-Index fell for a second day with large-cap stocks struggling as they were hit by strong profit taking, Thanh Cong Securities Co (TCSC) said in its daily report.

“Investors were still calm and not panicked despite profit taking rising gradually, proven by high trading liquidity recorded in the day,” the company said.

Nearly 456 million shares were traded on Tuesday, worth VND8.73 trillion (US$377.5 million).

“Though the market sentiment is still positive, more investors are becoming more cautious with the market rally,” and they tend to sit back to watch how the market moves before making decisions, TCSC said.

“The market could move by five points around 940 points in the coming days to find its short-term balance,” the firm forecast.

On the Ha Noi Stock Exchange, the HNX-Index dropped 1.37 per cent to 137.13 points.

The northern market index plunged 1.88 per cent on Monday.

The HNX-Index had gained a total of 4.27 per cent between October 12 and October 23.

More than 56 million shares were traded on the northern market, worth more than VND790 billion.

Foreign investors net sold a total of 168.7 billion worth of local assets.

The figure was down nearly 60 per cent in value compared to Monday. — VNS

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