Shares decline on worries over slower cash flow

HÀ NỘI —The Vietnamese stock market extended losses in broad-based selling on Thursday as investors shunned equities on worries over the trend of cash flow into the market.

The VN-Index on the Hồ Chí Minh Stock Exchange (HoSE) lost 0. 三 三 per cent, to close at  一,0 一 九. 八 一 points. The index had lost  一.0 二 per cent on Wednesday.

More stocks moved to the downside on the southern bourse, of which  一 六 六 ticker symbols inched higher, while  二 七 四 stocks finished lower.

Liquidity declined compared to the previous session, with nearly  四 四 二. 九 million shares traded on HoSE, worth nearly VNĐ 七. 九 trillion (US$ 四0 二. 三 million).

According to the report on global investment flows by SSI Securities Analysis Center (SSI Research), the disbursed capital flow from ETFs into Việt Nam slowed down.

Similar to August, the trend of disbursement from foreign funds such as Fubon, FTSE or domestic funds such as SSIAM VNFINLead was maintained, but at a markedly slower rate. Specifically, the Fubon fund had a net buying value of VNĐ 一 二 九 billion, down  五0 per cent compared to August, FTSE Vietnam had a net value of VNĐ 七 七 billion, down  八 八 per cent and SSIAM VNFIN Lead had a net value of VNĐ 三 八 billion, down  七 三 per cent.

The benchmark index was pressured by losses in large-cap stocks, with the  三0 biggest stocks tracker VN 三0-Index posting a decrease 0. 一 三 per cent, to  一,0 二 三. 八0 points. Twelve stocks in the VN 三0 basket jumped, while  一 六 stocks slid. And two stocks ended flat.

The worst performers in the VN- 三0 basket were still pillar stocks in the banking industry. They all decreased sharply with losers including Military Bank (MBB), Tiên Phong Bank (TPB), Vietcombank (VCB), Bank for Investment and Development of Vietnam (BID), VietinBank (CTG), Việt Nam International Co妹妹ercial JS Bank (VIB) and Saigon-Hanoi Co妹妹ercial JS Bank (SHB).

Techcombank (TCB) and Sacombank (STB) were the only gainers in the banking group.

Energy stocks also performed poorly with losers such as Việt Nam National Petroleum Group (PLX), PV Power (POW), PetroVietnam Technical Services Corporation (PVS), PetroVietnam Drilling and Well Services Corporation (PVD) and Drilling Mud Joint Stock Corporation (PVC).

Foreign investors net sold VNĐ 二 五 一. 二 billion on HOSE, including Hoà Phát Group (HPG) with VNĐ 一 八0. 一 三 billion, Kinh Bắc Corporation (KBC) with VNĐ 八 八. 二 三 billion, PetroVietnam Gas JSC (GAS) with VNĐ 四 二. 七 九 billion. Foreign investors net bought VNĐ 二 五0 million on the HNX.

On a sector basis,  一 四 out of  二 五 sector indices on the stock market lost ground, including banking, wholesale, rubber production, logistics, real estate, and securities. Meanwhile, gainers were insurance, retail, construction and food and beverage.

On the Hà Nội Stock Exchange (HNX), the HNX-Index also finished lower. It lost 0. 四 三 per cent, to  二 一0. 七 四 points.

During the session, VNĐ 五 三 五 billion worth of shares, equivalent to a trading volume of nearly  三 七. 二 million shares, was traded on the northern market. — VNS