by
Ka Moc, Minh Hue
Sunday, June 16, 2024 3:30 PM GMT+7
Vietnam’s stock market experienced a slight correction over the week due to heavy net selling by foreign investors.
Ending the week of June 10-14, the VN Index, representing the Ho Chi Minh City Stock Exchange (HoSE), was down 7.67 points (0.6%) from the previous week to 1,279.91 points.
The VN Index fell 7.67 points to 1,279.9 for the trading week ending June 14, 2024. Photo by The Investor/Gia Huy.
Trading volume on the main bourse reached 907 million units, up 5.97 percent from the previous week. The Hanoi Stock Exchange’s HNX index fell 1.02 points or 0.42 percent to 243.97.
Foreign investors increased their net selling on the Ho Chi Minh City Stock Exchange to VND5.53 trillion ($217.25 million), according to brokerage Saigon Hanoi Securities (SHS).
The main stocks sold were big names such as FPT, the tech giant FPT, VHM, property developer Vinhomes, HPG, the steel giant Hoa Phat, VNM, the Vinamilk group, VRE, Vincom Retail, VCB, the Vietcombank group, MWG, and VIC, the private conglomerate Vingroup.
Many stock groups recorded negative developments in the past week, especially in the oil and gas sector, BSR (-3.8%) of Binh Son Refinery, PVC (-3.7%) of PV Coating, PLX (-2.41%) of Petrolimex, PVD (-1.58%) of PV Drilling, BVH (-4.09%) of Bao Viet, BMI (-3.43%) of Bao Minh, MIG (-2.55%) of Military Insurance Corporation, HDG (-4.84%) of Ha Do Group, NVL (-4.07%) of Novaland, VHM (-2.05%) of Vinhomes, and NLG (-1.29%) of Nam Long Group.
However, many other sectors, including banking, technology and securities, still performed well.
SHS said the strong correction pressure during weekend trading has led the VN Index to fluctuate in the range of 1,250-1,300 points in the short term. Investors should consider selling weak stocks or reducing the proportion of stocks that have risen as expected.
The firm advised that medium to long-term investors can maintain their current portfolios and add more shares after carefully evaluating the companies’ second-quarter performance and year-end outlook.
Similarly, Saigon Securities (SSI) assessed that the VN Index failed to maintain the psychological threshold of 1,300 points and returned to the accumulation zone of 1,278-1,279 points.
The firm expects the benchmark index to hover around 1,278-1,279 points and said it was likely to recover to the 1,300-point range next week.
