Local shares advance marginally

Hanoi (VNA) – Shares increased marginally on February 8 after swaying several times during the session on heightened investor prudence.

On the HCM Stock Exchange, the VN-Index inched up 0.02 percent to close at 702.04 points. It rose 0.3 percent on February 7.

On the Hanoi Stock Exchange, the HNX-Index edged up 0.08 percent to end at 85.29 points. The northern index gained 0.9 percent in the previous session.

Declining global oil prices harmed local energy stocks as most of the biggest oil and gas shares lost value on February 8.

The largest listed gas company PV Gas (GAS), along with PetroVietnam Drilling and Wells Service (PVD), PetroVietnam Technical Services (PVS), Petroleum Equipment Assembly & Metal Structure (PXS), PetroVietNam Low Pressure Gas Distribution (PGD) and PetroVietnam Drilling Mud (PVC) were down between 0.5 percent and 2.4 percent.

Crude oil declined for the third session in a row in international commodity exchanges. US crude WTI slid 1.1 percent to trade at 51.59 USD a barrel, totalling three-day losses of 4.2 percent. Brent crude was down 0.8 percent to trade at 54.63 USD a barrel.

Banks were mixed, as BIDV (BID) and Vietinbank (CTG) tumbled but Vietcombank (VCB), Military Bank (MBB), Sacombank (STB) advanced.

On the positive side, steel and agricultural shares performed well. Steelmaker Hoa Phat Group (HPG) extended gains to six consecutive sessions with total growth of more than 6 percent on February 8.

Hoang Anh Gia Lai Group (HAG) and its agricultural arm Hoang Anh Gia Lai Agricultural (HNG) also recorded gains. HAG rose for a third day with total 5.4 percent growth while HNG recorded an 11-per-cent rise across four consecutive sessions.

According to stock analysts at FPT Securities Co, investors focused on stocks with positive earnings reports as well as receiving support information such as banks, steel and fertiliser companies.

However, investors become more prudent at the landmark of 700 points on the VN-Index. The market may reach 710 points if large-cap stocks maintain their momentum.

Among the top 30 shares by market value and liquidity on the main bourse in HCM City, 16 advanced while only nine declined.

Trading volume decreased slightly to 193.3 million shares but value of trades dropped more than 20 percent to a total of 3 trillion VND (133 million USD) on the two markets.

Foreign investors were net sellers on the two exchanges for a total net value of 38 billion VND. – VNA