Shares slide after US names VN currency manipulator

Friday, Dec 18, 2020 07:01

Workers of Hoa Phat Group (HPG) unload steel. Shares of Hoa Phat Group (HPG) lost 3 per cent on Thursday. — VNA/VNS Photo

Shares tumbled on Thursday as the market fluctuated amid the news Viet Nam was labelled a currency manipulator by the US.

The US Treasury Department has branded Viet Nam and Switzerland currency manipulators while China and nine other countries have been placed on a watch list of countries suspected of manipulating their currencies.

The benchmark VN-Index on the Ho Chi Minh Stock Exchange lost 1.43 per cent to end the trading session at 1,051.77 points.

It had gained 1.11 per cent to end the Wednesday trading session at 1,066.99 points.

Nearly 668 million shares were traded on the southern bourse Thursday, worth VND14.5 trillion (US$629 million).

Market breadth was negative with 148 gainers and 290 decliners.

“The news that the US put Viet Nam on the list of currency manipulation countries somewhat influenced and caused the VN-Index to decline quite sharply today and now the index has moved close to the support level of 1,050,” said BIDV Securities Co.

“Investment cash flow declined meanwhile foreign investors continued to be net sellers on the HSX but turned back to be net buyers on the HNX.

“Market breadth turned negative and liquidity increased from the previous session. According to our assessment, the VN-Index may fluctuate in the last session of the week, but the potential remains at 1,050,” it said.

Foreign investors net sold VND776.84 billion on HOSE, including Hoa Phat Group (HPG) with VND184.3 billion, Vietinbank (CTG) with VND68.5 billion and Vietcombank (VCB) with VND60 billion. Foreigners were net buyers on the HNX with a value of VND5.17 billion.

The large-cap tracker VN30-Index was down 1.24 per cent to 1,016.95 points.

Twenty-two of the 30 large-cap stocks in the VN30 basket decreased while five increased.

Pillar stocks lost ground such as Vietcombank falling 3.9 per cent, Vietjet dropping 2.7 per cent Hoa Phat Group losing 3 per cent, Vingroup (VIC) declining 2.2 per cent and Vincom Retail (VRE) 2.5 per cent.

Twenty-two out of 25 sector indices on the stock market lost ground, including seafood processing, construction, logistics, wholesale, real estate, retail, insurance, IT, energy, banking, food and beverage, construction materials, rubber production, securities and healthcare.

They all fell between 0.1 and 2.9 per cent.

On the Ha Noi Stock Exchange, the HNX-Index rose 0.23 per cent to end Thursday at 172 points.

It had gained 2.23 per cent to end Wednesday at 171.62 points.

Nearly 115 million shares were traded on the northern market, worth VND1.2 trillion. — VNS

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