July 7: Vietnam stocks close mixed, trading sluggish

Vietnam’s stocks closed mixed today as heavy blue chips buoyed HOSE while loss continued in the smaller cap bourse, HNX, with liquidity stayed at low level.

The benchmark VN Index added 1.69 points or 0.39% to 429.99. Volume rose 6.5% to 23.42 million shares but liquidity fell to VND463.3 billion, including 8.8 million shares worth VND228.17 billion changed hands in the put-through deals.

Low volume indicated that money flows are still at the sidelines on risk aversion.

On the other hand, put through deals were active in these days with spotlights from STB (4.2 million shares) and VNM (0.92 million shares). Of note, VNM share prices in the block trade continued to hit ceiling for a second day but STB share price was VND200 lower the floor price for the day.

Relating to STB shares, daughter and daughter-in-law of Dang Van Thanh, chairman of Sacombank (STB) has registered to sell their all holdings in the bank, with a combined number of 8.77 million shares from July 11 to September 11 this year.

There was a complete doldrums of market driving news today. Media continued to mention signs of easing deposit rates, but analysts still not see evidences for a steady decline in rates, especially lending one.

Late in the afternoon, the State Bank of Vietnam has just issued a draft decree on fining deposit rate cap violations in an attempt to stabilize the monetary market, pull down interest rates and control credit growth.

In related news, local gold prices rose VND150,000, heading to VND38 million threshold. Meanwhile, dollar midpoint price unchanged at VND20,613 and commercial banks’ dollar quote was unchanged. Dollar in the grey market was VND50-60 lower than at banks, mostly quoted at VND20,560-VND20,580 for bids and ask, respectively in Hanoi and down VND10 from yesterday. But at Vietcombank, dollar quote is VND20,570 –VND20,670 for bid and ask, respectively at 12:00, higher than yesterday’.

Back to the market, the VN Index opened in the red with 0.47 million shares traded as caution lingered. However, the market tried to move north and entered the positive territory about 30 minutes after the open. The green color sustained for the rest of the day though the market was off the high at the close. The trading pace was still sluggish and boring.

The gain was mostly contributed by ceiling performance of heavy-weigh MSN and strong gain of VIC.

Market breath today was negative, losers outstripped gainers by 112-80 and 80 stocks unchanged 19 stocks untraded. As many as 32 stocks fell to the floor while 8 issues hit the ceiling, 5% each side.

Among top 10 market caps, 4 were gainer, 3 stayed flat and 3 lost.

In cash market, STB was the most active stock with 1.94 million shares traded, closing up 1.6% to VND13,000.

SSI was second most active stock today with 1.06 million shares traded, closing down 1.1% to VND17,800. If SSI is the indicator of the market, the buying energy into this share was low today, most of the trading was made in the range VND17,800-VND18,000. Selling pressure was firm and offer at the midpoint VND18,000 was strong.

BGM was in the third place with 0.85 million shares traded, closing down 3.7% to VND11,500.

REE and OGC followed in the list with 0.5 million shares traded each.

Foreigners’ continued to offload shares on the HOSE and today they net-sold VND17.38 billion worth of shares on this bourse.

On the Hanoi Stock Exchange, the HNX index, posted a loss of 0.4 point or 0.54% to close at 73.04.

Trading volume fell 25.64% to 16.72 million shares traded for VND188.83 billion of which 0.59 million shares worth VND9.64 billion were changed hands in put-through deals.

Market breadth was negative with 76 gainers, 150 losers and 67 flat issues and 91 untraded. 6 out of top 10 market cap was losers, 4 others broke even.

KLS continued to be the most active stock with 3 million shares traded, closing down 0.9% to VND10,900 on average.

PVX was in the second place with 2 million shares traded, closing down 1.7% at VND11,800 on average.

VND ranked third in the list with 1.67 million shares traded, closing down 1.8% at VND10,900 on average.

Total trading volume of these 3 most active shares accounted for 41.5% of the total trading volume today, reflecting how sluggish the broad market really was.

On this smaller cap bourse, the average trading price is taken as the midpoint price of the following trading session where share prices are allowed to move 7% either side. – Stoxplus.com

Tags: vietnam stock, Vietnam stock market, VNindex