Shares maintain uptrend with high liquidity

Thursday, Jun 08, 2023 04:47

Novaland led the realty sector's gain on Wednesday with a daily maximum growth of 7 per cent. — Photo

Shares maintained an uptrend on both stock exchanges, fuelled by solid cash inflows. Real estate and construction sectors led the gains.

On the Ho Chi Minh Stock Exchange, the VN-Index extended gains to three days in a row this week, up 0.11 per cent to close Wednesday at 1,109.54 points.

The southern bourse’s index gained 1.7 per cent in the last three days and 3.2 per cent this month.

On the Ha Noi Stock Exchange, the HNX-Index increased 0.7 per cent to end at 230.33 per cent. The northern bourse’s index has constantly expanded since May 24 and gained 6.7 per cent since then.

The market breadth was positive as the number of advancing stocks exceeded the declining ones, with 519 gainers and 275 losers in the two markets. However, within the VN30 basket (which tracks the top 30 shares by market value and liquidity in HCM City), there were 16 losers, 11 gainers, and three closing flat.

The liquidity of the two exchanges remained at a high level, with the trading volume of the VN-Index reaching one billion shares worth nearly VND18.1 trillion (US$767 million). Meanwhile, the HNX-Index saw 116.9 million shares worth VND1.9 trillion changing hands.

After the midday break, the VN-Index faced rising profit-taking pressure on large-cap stocks. Nevertheless, the pressure gradually eased toward the end of the session, allowing the VN-Index to close in positive territory.

This was thanks to the growth of several heavyweight stocks such as steel giant Hoa Phat Group (HPG), Masan Group (MSN), Novaland (NVL) and Investment and Industrial Development Corp (BCM) with gains of between 2.6 per cent and 7 per cent each.

In terms of sectors, realty and construction materials were the best performers, with their indexes increasing by 3.85 per cent and 3.34 per cent, respectively.

Within the building materials industry, several stocks recorded significant gains, including HPG (3.9 per cent), Hoa Sen Group (HSG, 4 per cent), Vicem Ha Tien Cement (HT1, 3.7 per cent) and Pomina Steel (POM, up 7 per cent).

According to Dong A Securities, market liquidity remained at a high level, showing that the market's demand is very strong.

“With savings interest rates falling sharply, the stock channel is an option for many investors when the stock market has an attractive valuation,” they wrote in a note, suggesting investors hold energy (electricity, oil and gas), basic chemicals and infrastructure construction shares groups in the long-term.

Foreign traders concluded the day as net sellers on both exchanges, offloading shares worth net value of VND179 billion. — VNS

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