VN Index still below 1,000 points despite further stock gains

24-Aug-2019 Intellasia | The Saigon Times | 6:02 AM Print This Post

Domestic stocks continued advancing for the seventh consecutive session today, August 22, as energy and seafood firms enjoyed strong supporting news. However, the benchmark stock index still closed slightly below the strong psychological level of 1,000 points.

The VN Index of the Hochiminh Stock Exchange rose a slight 2.88 points, or 0.29 percent, against the previous session to close at 997.26, as losers still outnumbered gainers. Stock trade tumbled versus the previous day as there were no large block deals, with volume shedding 24 percent at 153 million shares and value sliding 25 percent at VND3.8 trillion.

According to securities firms, seafood stocks such as ABT, FMC and IDI rallied shortly after the United States Department of Commerce (DOC) announced to exempt shrimp exporters of Vietnam from anti-dumping tariffs following its 13th period of review (POR 13).

Oil and gas stocks also performed strongly as Brent futures rose 27 US cents to $60.3 a barrel. Having shot up to the ceiling price on Wednesday on positive earnings results in the second quarter of 2019, PVD added 2.5 percent at VND17,900 with matching volume of nearly 6.4 million shares.

Foreign investors shifted to the selling side as they net sold four million shares valued at VND87.5 billion, after posting a net buying value of VND113 billion on Wednesday. They still net bought 33.4 billion of shares in property giant VIC.

The HNX-Index on the Hanoi Stock Exchange gained 0.49 point, or 0.47 percent, at 103.5. There were 21.2 million shares worth VND341.8 billion changing hands on the northern bourse, down 33.5 percent and 25.9 percent versus the day earlier, respectively.

Foreign investors net sold 21 stocks with a total value of VND9.1 billion, a 84.6 percent slump compared to the previous day. Notably, they net sold over VND5.4 billion of shares in petroleum and technical service firm PVS.

According to BIDV Securities Company, in favourable conditions, the VN Index may test the strong resistance of 1,000 points again.

Bao Viet Securities Company in a report also said the VN Index is forecast to pick up further after breaking the resistance range of 980 and 986 points. However, the market is likely to experience some falling sessions to retest the supporting range of 986 and 990 points.

Bank and oil and gas stocks are forecast to maintain their rises this week. VN30 stocks, such as budget airline VJC, lender VCB, and property firm VHM, would also maintain their short-term gains. Meanwhile, after a long period of falling, securities and textile stocks are showing signs of recovery in the next couple of sessions, the securities firm said.


Category: Stocks, Vietnam

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