'Vin' stocks drag down Vietnam market

Wednesday, May 19, 2021 06:46

Outside a Vincom shopping centre in Ha Noi. The mall operator Vincom Retail's shares (HoSE: VRE) plunged 2.3 per cent on Tuesday. — VNA/VNS Photo

Shares dropped on Tuesday as investors dumped stocks in the 'Vin' family, weighing down the overall stock market.

The market benchmark VN-Index on the Ho Chi Minh Stock Exchange (HoSE) declined 0.48 per cent, or 6.02 points, to finish Tuesday at 1,252.68 points.

The southern market index had declined 0.60 per cent on Monday, to finish the trading day at 1,258.70 points.

The market breadth Tuesday was negative as 274 stocks declined while 143 rose and 46 ended flat.

The market’s liquidity was high with over 692.5 million shares traded on the southern market, worth VND21 trillion (US$915 million).

The shares of the 'Vin' family performed poorly as IT-real-estate-manufacturing-retail conglomerate Vingroup (VIC) and real estate giant Vinhomes (VHM) dropped.

Vingroup (VIC) dropped 2.4 per cent, Vincom Retail (VRE) declined 2.3 per cent and Vinhomes (VHM) was down 1.9 per cent.

Bank stocks also performed poorly on selling pressure, including Asia Commercial Bank (ACB), Bank for Investment and Development of Vietnam (BID), Vietinbank (CTG), Saigon-Hanoi Bank (SHB), Vietcombank (VCB), VPBank (VPB) and HDBank (HDB).

“In this period, there is a lack of information supporting the market, thus, VN-Index is likely to continue fluctuate with alternating ups and downs in the 1,200-1,220 zone to 1,275-1,285 zone to accumulate and create a new base in the short term,” said Bao Viet Securities Co.

“Investors should maintain the proportion of shares in the portfolio at 30-35 per cent, prioritising holding medium-long term positions and consider taking a short position in the short term when the index is testing the support zone of 1,200-1,220 points,” it said.

On a sector basis, 28 out of 25 sectors witnessed downtrend, including insurance, seafood processing, real estate, agriculture, home appliance production, logistics, construction, banking, rubber production, securities, agriculture and healthcare.

The 30 biggest stocks tracker, VN30-Index, rose 0.53 per cent to finish Tuesday at 1,378.59 points.

Of the VN30 basket, 11 stocks increased while 18 decreased.

Meanwhile, on the Ha Noi Stock Exchange (HNX), the HNX-Index declined 0.72 per cent to close Tuesday at 294.64 points.

The northern market index had risen 0.70 per cent to close Monday at 296.79 points.

During the session, nearly 123 million shares were traded on HNX, worth VND2.5 trillion. — VNS

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