Shares decline on worries over slower cash flow

Thursday, Nov 03, 2022 16:20

Workers of Quang Ninh Electricity Company under PV Power (POW) install data transmission equipment. POW lost 1 per cent yesterday. — VNA/VNS Photo Ngoc Ha

The Vietnamese stock market extended losses in broad-based selling on Thursday as investors shunned equities on worries over the trend of cash flow into the market.

The VN-Index on the Ho Chi Minh Stock Exchange (HoSE) lost 0.33 per cent, to close at 1,019.81 points. The index had lost 1.02 per cent on Wednesday.

More stocks moved to the downside on the southern bourse, of which 166 ticker symbols inched higher, while 274 stocks finished lower.

Liquidity declined compared to the previous session, with nearly 442.9 million shares traded on HoSE, worth nearly VND7.9 trillion (US$402.3 million).

According to the report on global investment flows by SSI Securities Analysis Center (SSI Research), the disbursed capital flow from ETFs into Viet Nam slowed down.

Similar to August, the trend of disbursement from foreign funds such as Fubon, FTSE or domestic funds such as SSIAM VNFINLead was maintained, but at a markedly slower rate. Specifically, the Fubon fund had a net buying value of VND129 billion, down 50 per cent compared to August, FTSE Vietnam had a net value of VND77 billion, down 88 per cent and SSIAM VNFIN Lead had a net value of VND38 billion, down 73 per cent.

The benchmark index was pressured by losses in large-cap stocks, with the 30 biggest stocks tracker VN30-Index posting a decrease 0.13 per cent, to 1,023.80 points. Twelve stocks in the VN30 basket jumped, while 16 stocks slid. And two stocks ended flat.

The worst performers in the VN-30 basket were still pillar stocks in the banking industry. They all decreased sharply with losers including Military Bank (MBB), Tien Phong Bank (TPB), Vietcombank (VCB), Bank for Investment and Development of Vietnam (BID), VietinBank (CTG), Viet Nam International Commercial JS Bank (VIB) and Saigon-Hanoi Commercial JS Bank (SHB).

Techcombank (TCB) and Sacombank (STB) were the only gainers in the banking group.

Energy stocks also performed poorly with losers such as Viet Nam National Petroleum Group (PLX), PV Power (POW), PetroVietnam Technical Services Corporation (PVS), PetroVietnam Drilling and Well Services Corporation (PVD) and Drilling Mud Joint Stock Corporation (PVC).

Foreign investors net sold VND251.2 billion on HOSE, including Hoa Phat Group (HPG) with VND180.13 billion, Kinh Bac Corporation (KBC) with VND88.23 billion, PetroVietnam Gas JSC (GAS) with VND42.79 billion. Foreign investors net bought VND250 million on the HNX.

On a sector basis, 14 out of 25 sector indices on the stock market lost ground, including banking, wholesale, rubber production, logistics, real estate, and securities. Meanwhile, gainers were insurance, retail, construction and food and beverage.

On the Ha Noi Stock Exchange (HNX), the HNX-Index also finished lower. It lost 0.43 per cent, to 210.74 points.

During the session, VND535 billion worth of shares, equivalent to a trading volume of nearly 37.2 million shares, was traded on the northern market. — VNS

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