Vietnamese stocks suffer as banking and securities shares decrease
Vietnamese stocks witnessed a decline on Monday as banking shares and securities stocks experienced a decrease. This resulted in increased pressure on the indices, driven by a strong selling force prevailing in the market.
Vietnamese stocks declined on Monday, as did banking shares and securities stocks. This resulted in increased pressure on the indices, driven by a strong selling force prevailing in the market.
On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index dropped 0.2 per cent to close at 1,281.52 points.
Market breadth was negative with 327 decliners and 144 gainers.
Some 961.4 million shares were traded on the southern exchange, worth VNĐ23.14 trillion (US$762 million).
The VN30-Index, which tracks the performance of the 30 largest stocks by market capitalisation and liquidity on HoSE, lost 0.33 per cent to reach 1,292.62 points. In the basket, ten stocks climbed and 18 slid.
According to vietstock.vn, the market experienced a decline as banking shares continued to fall and securities stocks faced a significant drop, exerting pressure on the indices due to strong selling force.
Banking stocks lost ground with most of the stocks in the basket declining, including Vietinbank (CTG), Asia Commercial Bank (ACB), Tiên Phong Bank (TPB), National Commercial Joint Stock Bank (NVB), VPBank (VPB), Military Bank (MBB), Bank for Investment and Development of Vietnam (BID), Techcombank (TCB) and Sacombank (STB).
HDBank (HDB) and Vietcombank (VCB) were the only gainers in the banking group.
The securities group was also hit strongly, with losers being VNDIRECT Securities Corporation (VND), MB Securities JSC (MBS), Việt Dragon Securities Corporation (VDS) and Vietcap Securities Joint Stock Company (VCI).
Despite some supportive moves seen at the end of the previous session, the market failed to gain ground and fell below the 1,286-point threshold, said Việt Dragon Securities Co.
"Liquidity decreased compared to the previous session, indicating caution on cash flow among investors. However, for now, the supply side hasn't exerted significant pressure. With the current cautious sentiment, there's a possibility that the market will continue to explore supply and demand dynamics in the 1,277 – 1,290 range before clearer signals emerge."
"Therefore, investors should slow down and observe the market's supply and demand dynamics in this exploratory range to assess its condition. Currently, it's advisable to prioritise stocks showing positive signals from support levels for holding positions, but consider taking profits on stocks facing resistance to mitigate the risk of market weakening."
On the same day, the HNX-Index on the Hà Nội Stock Exchange (HNX) gained 0.13 per cent to close at 242.90 points.
Nearly 98 million shares were traded on the northern exchange, worth VNĐ2.17 trillion. — VNS
