Illustrative image (Photo: VNA)
Hanoi (VNA) - Vietnamese shares fell for a second day on profit taking and oil stocks plunged on lower oil prices.
The benchmark VN Index on the HCM Stock Exchange fell 1 percent to finish at 652.26 points, the hardest fall since June 24. The southern market index has gone down 1.4 percent in the last two sessions.
The HNX Index on the Hanoi Stock Exchange closed down 1.8 percent at 86.02 points, totaling a two-day decline of 2.4 percent.
The stocks, which have made strong gains in recent weeks and suffered from profit taking, included steel producers, pharmaceutical companies and property developers.
Among steel producers, Tien Len Steel Group JSC (TLH) plunged 6.7 percent, Vietnam-Italy Steel JSC (VIS) declined by 1 percent, Hoa Phat Group (HPG) slumped 5.2 percent and Hoa Sen Group (HSG) fell 4.3 percent.
Steel producers made significant gains since the policy on anti-dumping steel price was applied in late March to help local steel companies compete against imported steel products.
HPG has jumped 40 percent, HSG has risen 30 percent, TLH has surged nearly 60 percent and VIS has gained nearly three-quarter.
Pharmaceutical companies also declined from recent gains, including Domestic Medical Import-Export JSC (DMC), DHG Pharmaceutical JSC (DHG) and OPC Pharmaceutical JSC (OPC). DMC fell 6.5 percent, DHG lost 2.9 percent and OPC plunged 6.8 percent.
Additionally, property developers retreated after they had made gains on expectations that their earnings for the second quarter would be higher.
Vietnam Construction and Import-Export Corp (VCG) pulled back 9.7 percent after surging 57 percent in the previous three trading weeks, Saigon Thuong Tin Real Estate JSC (SCR) fell 5.5 percent after rising 13 percent in the previous four days, and Song Da Urban and Industrial Zone Investment and Development JSC (SJS) dropped 1.9 percent from a six-day rally of 24 percent.
Oil stocks also recorded big losses on July 11 as crude prices continued to slide on global exchanges.
London-traded Brent crude fell another 1.1 percent to trade at 46.32 USD a barrel, totaling a loss of 8 percent since the beginning of July.
Local energy stocks, such as PetroVietnam Gas Corp (GAS), PetroVietnam Drilling and Well Service Corp (PVD) and PetroVietnam Mud Drilling Corp (PVC), were down between 3 percent and 4.8 percent.
Investors traded 239.5 million shares worth 4.27 trillion VND (189.9 million USD), an increase of 6 percent from last week’s daily trading value.-VNA
