VN-Index down slightly as liquidity surges

The Ho Chi Minh Stock Exchange (HoSE), on which the VN-Index is based, saw 221 tickers gaining and 179 losing despite ending in the red. Total trading volume nearly doubled over the previous session, to VND11.43 trillion ($493.14 million).

This surge in liquidity was primarily the result of put-through transactions of 67 million VHM shares, belonging to real estate giant Vinhomes, worth over VND5 trillion, from domestic to foreign investors.

The VHM shares were sold at VND75,000 per share, much lower than its current trading price of VND78,100. Vinhomes has not commented on the transfer.

The VN30-Index for the stock market’s 30 largest capped stocks added 0.17 percent this session, with 11 gaining and 9 losing. Topping gains this session was REE of appliances maker Refrigeration Electrical Engineering, which surged 5 percent. The share has reached its highest price since March 2018 after three consecutive gaining sessions and is trading at VND39,000 now.

South Korean headquartered financial services firm Mirae Asset forecasts that the firm's revenue and profits would pick up in the second half of the year, mainly from REE’s investments in hydropower with more rain expected during that period.

REE, in the past few years, has identified hydropower as an alternative long-term direction in addition to manufacturing refrigeration appliances, and has consistently been raising its stakes in several hydropower plants in central and southern Vietnam, Mirae Asset noted.

Following REE was TCH of truck dealer Hoang Huy Group, up 1.7 percent, TCB of private Techcombank, up 1.2 percent, HDB of private HDBank, up 0.7 percent, and VNM of dairy giant Vinammilk, also up 0.7 percent.

Other major gainers included MWG of electronics retailer Mobile World, PNJ of jewelry chain Phu Nhuan Jewelry, and POW of electricity generator PetroVietnam Power, all of which added 0.5 percent.

10 tickers kept their opening prices this session, including VIC of private conglomerate Vingroup, VJC of budget carrier Vietjet Air, CTG of state-owned bank VietinBank, and SSI of top brokerage Saigon Securities Inc.

PLX of petroleum distributor Petrolimex topped losses with 1.6 percent this session, followed by real estate developer Khang Dien House, down 1 percent, and STB of private Sacombank, with 0.9 percent.

Other major losers included BID of state-owned lender BIDV, down 0.7 percent, VHM of real estate developer Vinhomes, with 0.6 percent, and SAB of major brewer Sabeco, with 0.5 percent.

Meanwhile, the HNX-Index for the Hanoi Stock Exchange, home to mid- and small-capped stocks, shed 0.09 percent, and the UPCoM-Index for the Unlisted Public Companies Market added 0.32 percent.

Foreign investors were net buyers to the tune of VND5.05 trillion on all three bourses, primarily a result of the VHM put-through transactions. Other than VHM, net buying pressure was focused on two exchange traded funds.