Shares declined yesterday afternoon as investors increased selling on uncertainty of the market’s outlook.

The VN-Index, the measure of 315 stocks on the HCM Stock Exchange, erased earlier gains to close flat at 674.6 points. The index has increased over 0.3 per cent in the last two sessions.

On the Ha Noi Stock Exchange, the HNX-Index inched 0.24 per cent to end at 80.9 points. It rose 0.3 per cent in the previous three days.

Overall conditions were negative, with 263 out of total 692 stocks declining, while only 177 advanced.

Large-cap stocks led the downturn as 20 of the top 30 biggest stocks by market capitalisation lost value and only six advanced.

Losers included big financial companies and banks such as the second biggest listed lender Vietcombank (VCB), BIDV (BID) and Vietinbank (CTG), real estate firms such as HCM City Infrastructure Investment (CII), HCM Securities Inc (SHB) and Tan Tao Investment Industry (ITA) and Kinh Bac City Development (CII).

On the bright side, Hoang Anh Gia Lai Group (HAG) and its agribusiness arm Hoang Anh Gia Lai Agricultural (HNG) continued to rise and supported the market together with the growth of Masan Group (MSN) and Mobile World Group (MWG).

“Slight gains of stock indices accompanied by average liquidity show that the VN-Index would likely continue moving sideways at around 665-680 points,” stock analysts at Sai Gon-Ha Noi Securities Co wrote in a report.

The VN-Index has been swinging between 665-680 points since the end of last month after hitting the year’s peak of 689 points on October 19.

Low priced stocks continued to attract money inflows such as FLC Group (FLC), Tan Tao Investment Industry (ITA), Hoang Anh Gia Lai Group (HAG), Ha Noi – Kinh Bac Agriculture and Food (HKB), Vietnam Enterprise Investment and Development (FID) and C.E.O Group (CEO) and Binh Thuan Mineral (KSA).

All of these stocks were among the top five most heavily-traded shares on the two exchanges, with between two million and 17 million traded on each stock.

Liquidity was nearly unchanged compared to the previous session with over 168 million shares worth VND2.6 trillion (US$116.6 million) traded in the two markets.

Foreign investors concluded the trade as net sellers on the two exchanges, responsible for a combined net sell value of nearly VND70 billion. – VNS