VN-Index ends year’s longest gaining streak

After climbing nearly 60 points, or 6.25 percent in the previous nine sessions, investors are now trying to cash in on short-term gains, and that is what drove the market down this session, analysts said in various reports.

The Ho Chi Minh Stock Exchange (HoSE), on which the VN-Index is based, was overwhelmingly red when with 247 losing tickers against 182 that gained. Total trading volume remained at this year’s highest levels, at VND11.28 trillion ($489.53 million).

The main bourse once again evaded predictions of most securities firms, who had, prior to last Friday session when the VN-Index hit 1,010 points, said it would correct upon nearing the 1,000 point resistance threshold. Some firms then adjusted their predictions to say the index could go as high as 1,025-1,040 points this week.

The VN30-Index for the stock market’s 30 largest caps shed 0.54 percent this session, with 20 losing stocks and nine gaining.

The worst performers in this basket this session were TCH of truck dealer Hoang Huy Group, down 3.5 percent, HPG of steelmaker Hoa Phat Group, 2.1 percent, and MSN of food conglomerate Masan Group, with 2 percent.

Vietnam’s three largest state-owned banks by assets were also deep in the red. BID of BIDV fell 1.8 percent, CTG of VietinBank 1.6 percent, and VCB of Vietcombank 1.6 percent. MBB of state-owned mid-sized Military Bank, however, was one of the best performers, rallying 1.8 percent.

In oil and gas, POW of electricity generator PetroVietnam Power lost 1.5 percent, PLX of petroleum distributor Petrolimex shed 1 percent, and GAS of energy giant PetroVietnam Gas kept its opening price.

Movements of stocks in this sector had mirrored changes in global oil prices. As of 4.35 p.m., Brent futures were down 1.68 percent, to $47.42 per barrel, and WTI futures down 1.52 percent, to $44.84 a barrel.

Other major losing tickers included SBT of agricultural exporter TTC-Sugar, down 1.6 percent, VNM of dairy giant Vinamilk, with 1.5 percent, and FPT of IT services firm FPT, with 1.4 percent.

VIC of private conglomerate Vingroup, HoSE’s largest cap, was down 1 percent. VHM of its real estate subsidiary Vinhomes also slipped 0.1 percent, but VRE of subsidiary mall operator Vincom Retail gained 1.6 percent.

Topping gains this session were stocks in the private banking sector. HDB of HDBank climbed 2.6 percent, TCB of Techcombank 1.7 percent, STB of Sacombank 1 percent, and EIB of Eximbank 0.6 percent.

Other major gainers this session included REE of appliances maker Refrigeration Electrical Engineering, up 2.1 percent, KDH of real estate developer Khang Dien House, with 1.3 percent, and MWG of electronics retailer Mobile World, with 0.4 percent.

The HNX-Index for the Hanoi Stock Exchange, home to mid- and small-caps, lost 0.32 percent, but the UPCoM-Index for the Unlisted Companies Market gained 0.16 percent.

Foreign investors turned net buyers to the tune of over VND130 billion on all three bourses, with buying pressure mostly on DHC of paper producer DOHACO and the FUEVFVND, an exchange-traded fund replicating the performance of stocks on the VN Diamond Index, a bag of 14 stocks, most of which are blue chips.