The market's breadth was negative with 422 stocks declining while only 28 stocks jumped. Photo cafef.vn

Vietnamese shares fell sharply on Monday morning on surging coronavirus cases, reinforcing fears of further economic pain from restrictions induced by the virus.

On the Ho Chi Minh Stock Exchange (HoSE), the market benchmark VN-Index fell 15.59 points, or 4.14 per cent, to 1,291.38 points. The market's breadth was negative with 422 stocks declining while only 28 stocks jumped.

The market liquidity was higher than yesterday as nearly VND19.5 trillion was poured into the southern bourse, equivalent to a trading volume of more than 639 million shares.

Việt Nam's Health Ministry confirmed 659 new community transmissions in nine localities Monday morning, pushing the infection tally during the ongoing wave to 26,930.

Of the new cases, 544 were recorded in HCM City, including 369 in quarantine zones and areas under lockdown. 175 others have unknown sources of transmission.

Starting last Friday, HCM City halts all lottery services, either via retailers or street vendors, as well as food and drink takeaways for 15 days.

The rules are part of social distancing measures for the city to curb the COVID-19 spread. It also suspends all motorcycle taxi drivers, either traditional or ride-hailing, for the 15-day period, but shipping services are to continue.

Following fears about restriction measures pressuring economic development, selling pressure weighing on most sectors was the main reason for the fall. The VN30-Index, tracking 30 biggest stocks in market capitalisation on HoSE, dropped 4.08 per cent to 1,433.43 points.

Meanwhile, on the Ha Noi Stock Exchange (HNX), the HNX-Index lost 5.08 per cent in the morning trade to 291.14 points. VNS