Shares rebounded on Wednesday after four consecutive falling sessions, led by banks. Liquidity also increased, showing improved investors’ sentiment.

 

On the Hồ Chí Minh Stock Exchange, the VN-Index edged up 0.92 per cent to close at 1,048.20 points. The southern market’s index lost 3.2 per cent in the four previous sessions.

 

Market breadth was positive when the number of rising stocks tripled the falling ones.

 

Nearly 586 million shares worth VNĐ9.9 trillion (US$421 million) were traded in HCM City’s bourse, up 47 per cent in both volume and value compared to Tuesday’s levels.

 

Banks drove the market rise when six of the top 10 shares lifting the VN-Index most were credit institutions. They included Vietnam Prosperity Bank (VPB), BIDV (BID), Asia Commercial Joint Stock Bank (ACB), Vietcombank (VCB), Techcombank (TCB) and Vietinbank (CTG) with growth of between 0.5 per cent and 3 per cent each.

 

On the Hà Nội Stock Exchange, the HNX-Index rose for a second day, up 1.52 per cent to end at 207.97 points. The northern bourse’s index inched up 0.2 per cent in the previous session.

 

Liquidity doubled Tuesday’s figures, totalling 61 million shares worth more than VNĐ1 trillion.

 

Regarding sectors on both exchanges, 24 of 25 industries tracked by vietstock.vn gained value with 15 recording average growth of more than 1 per cent.

 

Construction was a highlight on Wednesday with many seeing high growth such as Hòa Bình Construction Group (HBC), up 6.2 per cent; Tasco JSC (HUT), up 3.7 per cent; Thành Đạt Investment Development JSC (DTD), up 4.1 per cent; and Đạt Phương Group (DPG), up 3.9 per cent.

 

According to Bảo Việt Securities Co (BVSC), the market is still facing the risk of retreating in the short term, due to volatile domestic and foreign cash flows, a lack of supporting information factors, the returning of the risk of bond maturity and short-term correcting pressure directed at banking stocks.

 

“We believe that this period is only suitable for investors who prefer short trading activities and have a high risk appetite. Investors with high stock exposure can consider selling during market's rebounds to reduce exposure,” Trần Văn Bách, BVSC’s market analyst, wrote in a daily note.

 

Foreign traders were net sellers for a total net sell value of VNĐ328 billion on the HCM City’s bourse after a net buying session on Tuesday, focusing on Sacombank (STB)’s shares with a net sell value of VNĐ177 billion. They remained net buyers in Hà Nội’s market but for a trivial value of VNĐ5.3 billion. — VNS