Experts fore market correction this week
Nguyen Xuan Binh, deputy director of research at Bao Viet Securities Company, told Dau tu Chung khoan newspaper that major drivers of the market like petroleum, bank, steel and realty stocks have entered their resistance levels. If new drivers do not emerge, there would be downsides on the market.
Stocks made gains on the HCMC and Hanoi exchanges last week. The VN-Index added 2.26% at 621.88 points, and the HNX-Index edged up 1.56% at 82.66 points.
The average matched volume amounted to 109.9 million shares on the HCMC bourse, up 22%, and reached 47.9 million shares on the Hanoi market, an increase of 35.7%.
Large caps dipped last week but not sharply thanks to foreign purchases. Notably, mid-, small- and micro-cap stocks attracted various investors, thus helping them rally.
The State Bank of Vietnam (SBV) issued Circular 06/2016/TT-NHNN amending and supplementing a number of provisions in Circular 36/2014/TT-NHNN in a way that reduces adequacy ratios at banks. Vietstock.vn said the SBV’s move would increase the appeal of real estate, bank and securities stocks to investors.
Trading volumes of many speculative stocks like HAR, HAG and FLC rose significantly. Overall, the HCMC market ended up in four out of last week’s five sessions.
According to a report of Viet Capital Securities Company, the VN-Index broke its winning streak last Friday. The main index surpassed 625 points at one point but closed down at 621.88.
In all, the index added 2.3% during the week and made gains for eight weeks in a row.
Realty developer An Duong Thao Dien Company (HAR) was the biggest gainer on the southern bourse, shooting up 19.57% at VND5,500 per share. Meanwhile, Ntaco Corporation (ATA) became the biggest loser with a 5.97% fall at VND6,300 per share since the HCMC exchange issued a warning against the firm, saying it repeatedly infringed information disclosure regulations.
Foreign investors stayed on the buying side on both bourses. They net bought VND374.8 billion worth of shares on the HCMC market, chiefly HPG with VND96.9 billion, DPM with VND31.8 billion and VNS with VND30 billion.
They sold MBB shares worth VND133.9 billion, VIC shares worth VND86.6 billion and SSI shares worth VND57 billion.
The Hanoi exchange reported a foreign net buying value of VND53.5 billion. Foreigners spent VND23.7 billion on PVS, VND7 billion on VCS and VND5 billion on PLC, while they offloaded VND5.5 billion worth of SHB shares and VND3.4 billion worth of DBC shares.
