VN Index narrows loss on bargain hunting

Trading transactions are processed at the Hanoi Stock Exchange (Photo: VNA)

Hanoi (VNS/VNA) - Vietnam’s benchmark VN-Index fell slightly on September 26, covering part of losses made in intraday trading as investors hunted for low-priced stocks.

The VN-Index on the HCM Stock Exchange finished Tuesday at 805.35 points, recovering from its intraday-low of 801.66 points.

The benchmark index was almost unchanged from the previous session’s end level of 805.58 points. It fell nearly 0.2 percent on September 25.

Market trading liquidity showed signs of improvement with more than 171 million shares traded, worth 3.65 trillion VND (162.4 million USD).

September 26’s trading figures were up 14.7 percent in trading volume and 10 percent in trading value compared to the previous session.

According to Saigon-Hanoi Securities Company (SHS), the VN-Index fell slightly on September 26 as investors began to hunt for declining stocks when the index was around the supporting level of 802 points.

SHS said in its daily report that rising market liquidity also proved investors’ attention was re-directed to the stock market.

Large-cap stocks performed well with 16 of the 30 top companies by market capitalisation and trading liquidity in the VN30 Index advancing.

Gainers included PetroVietnam Drilling and Well Services (PVD), PetroVietnam Gas (GAS), consumer goods producer Masan Group (MSN) and Sacombank (STB).

PVD and GAS gained 6.9 percent and 1.5 percent, respectively, as oil prices showed recent improvements and were headed to 60 USD a barrel.

Brent crude was down 0.6 per cent to trade at 58.67 USD a barrel. It has increased by total 13 percent in the last month.

“The stock market was also supported by foreign buyers, who ended as net buyers on the southern exchange,” SHS said. Foreign investors posted a net buy value of 27.3 billion VND while they sold total net value of 58.6 billion VND on September 25.

On the negative side, FLC Faros Construction (ROS), brewer Sabeco (SAB) and gas station operator Petrolimex (PLX) were the stocks that weighed down the southern market.

“In the current conditions, the VN Index is expected to move sideways and accumulate in the range of 802-810 points on September 27,” SHS said, adding that it requires strong efforts to break away from this range and continue rising.

On the Hanoi Stock Exchange, the HNX Index gained 0.53 percent to close at 107.91 points. It has recorded a fifth gaining session with total growth of 3 percent.

More than 80 million shares were exchanged on the northern market, worth 949 billion VND.-VNA