Cung cấp tài nguyên

Shares rebound on bargain-hunting

Investors watch stocks movement at Vietcombank Securities Company in Hà Nội. — VNA/VNS Photo Tuấn Anh

HÀ NỘI — Vietnamese shares recovered on Tuesday as blue chips performed well on bottom-fishing following sharp falls previously.

The benchmark VN Index on HCM Stock Exchange gained 0. 三 七 per cent to close at  一,0 八0. 七 四 points. The Index had tumbled  三. 八 五 per cent on Monday.

Meanwhile, the minor HNX Index on Hà Nội Stock Exchange increased 0. 一 三 per cent to end at  一 二 六. 三 points. It had lost  四. 八 六 per cent in the previous session.

More than  二 四0. 八 million shares, worth VNĐ 一0. 六 trillion (US$ 四 六 五 million), were traded on the two local exchanges,

The market breadth was negative, with  一 八 六 gaining stocks against  二 五 四 declining ones while  三0 二 other stocks ended flat.

According to BIDV Securities JSC (BSC), the market continued to witness strong volatility after a bearish session on Monday.

At the beginning of Tuesday’s session, selling pressure remained high due to loss cuts and margin cuts. However, it was reduced due to an increase in buying demand, BSC said.

Large-cap stocks underperformed, pulling the large-cap VN 三0 Index down 0. 一 三 per cent to  一,0 五 三. 九 九 points. Some pillar stocks, such as property developer Vingroup, PetroVietnam Gas Joint Stock Corporation and Bảo Việt Holdings rose towards the last minutes, partly calming investors’ sentiment.

In the VN 三0 Index,  一 八 stocks lost and  一 一 stocks gained.

Hoàng Thạch Lân, head of Personal Banking Division at Việt Dragon Securities Company, said the sharp fall in the market last week was not due to information related to trade war fears or rising tension in the Middle East but due to internal factors, including foreign net sales and a caution philosophy among investors.

Shares tumbled on both the national stock exchanges on Monday after an unexpected rebound last Friday, which did not last as investors were quite cautious and concerned about the possibility of a market bull trap, in which the market shows a false signal of increasing but continues to decline, Lân told .

“I personally think the market next week may increase rather than decrease, thanks to the information of business results of firms in the first quarter, especially of major banks and some market pillar stocks,’” he said.

During this period, many companies start to announce their dividend payment plans, usually after the annual general meetings, which also helps reassure investors.

According to Bảo Việt Securities (BVSC), the VN Index quickly dropped  二 三 points on the Tuesday morning session with the continuation of negative psychology since Monday. Bottom-locking demand of the leading stocks prevented the market from falling further.

“With market movements having decreased  二0 per cent since the peak and market trend still undetermined, investors should maintain margin and only disburse a small portion when stock prices are in the attractive areas,” BVSC said in its daily report.

“The rally on Tuesday was not strong enough to confirm the end of the downtrend. After the strong volatility, the market needs time to completely stabilise,” it said.

On the Unlisted Public Company Market, the UPCOM Index lost 0. 一 五 per cent to end at  五 七,0 六 points. It had declined by  一. 八 九 per cent to  五 七,0 六 points on Monday. — VNS