Shares nosedived on the HCM City Stock Exchange on Friday, dragged down by trading for portfolio-restructuring of domestic exchange-traded fund (ETF) E1VFVN30.

Active trading by the ETF, particularly offloading a wide range of blue-chips, had a negative impact on investor psychology and weighed on the market.

The benchmark VN Index on the HCM Stock Exchange plunged 1.12 per cent to close at 933.39 points, reversing from its increase of 5.7 per cent during the last six sessions.

The HNX Index on the Ha Noi Stock Exchange gained 1.93 per cent to end at 107.62 points. The northern market index inched down 1.26 per cent on Thursday.

More than 249 million shares were traded on both local bourses, worth VND5.5 trillion (US$238 million).

Overall market condition was negative with 210 gainers and 223 losers, while 308 closed unchanged.

Tracking the southern bourse’s largest stocks by capitalisation and liquidity, the VN30-Index dropped 1.55 per cent to end at 926.50 points.

Among all 20 industries, the worst declining stocks were found in insurance, real estate and retail.

The ETF VFMVN30’s review on Friday had a negative impact on the market.

Some of the stocks up for sale were real estate developer Vingroup (VIC), FLC Faros Construction Joint Stock Company (ROS), brewery Sabeco (SAB), budget carrier Vietjet (VJC), steel maker Hoa Phat Group (HPG) and retailers Mobile World Group (MWG) and FPT Corporation (FPT).

Notably, SAB hit the daily limit decline of 7 per cent while ROS fell sharply by 6.6 per cent.

The three stocks that were excluded from the ETF E1VFVN30 report were insurer Bao Viet Holdings (BVH), JSC Bank for Investment and Development of Viet Nam (BID) and PetroVietnam Power Nhon Trach 2 JSC (NT2). BVH dropped by 6 per cent to trade at VND71,000 per share. NT2 decreased by 2.4 per cent to VND26,000 per share, and BID went down 1.6 per cent to VND25,400 per share.

On the other side, some large-cap stocks traded on the HNX like Asia Commercial Bank (ACB) and PetroVietnam Technical Services Corporation (PVS) unexpectedly surged by 4 per cent and 1.8 per cent, respectively, contributing to HNX-Index’s rally on Friday.

The UPCOM Index dropped 0.07 per cent to finish at 50.55 points. It gained 0.85 per cent to finish at 50.59 points in the previous session.

According to BIDV Securities Company (BSC), the market experienced a correction mode on Friday, so investors should stay calm and wait for supporting information from Q2 business results. — VNS