May 10: Vietnam Stocks Close Down on Profit Taking, Liquidity Surges

The benchmark VN Index sled for a second day, losing 1.55 points or 0.32% to 486.07. Volume rose 18.2%to 134.7 million shares worth of VND2.31 trillion, highest liquidity YTD.

Put-through trading contributed 10 million shares worth VND364.4 billion.  Of note, 6.6 million CII shares were changed hands in the put-through deal at the floor price of VND25,000 each.

The market breadth was still positive on the primary bourse where 137 stocks advanced, 132 fell, 40 closed unchanged of which 67 hit the ceiling, 30 limited down.

The VN30 Index lost 2.61 points or 0.47%, to 554.74 with 32.5 million shares changed hands for VND718.4 billion.

The market opened in the green with 8.3 million shares changed hands. The trading pace was still fast however, the caution rose. The index soon erased all the early gain and fell to the negative territory. From 10:00 there was a brief recovery but not strong enough to convince market participant, then, the index fell back, making a reverse parabola move in the morning session.

The afternoon session resumed with extended selling pressure as investors tried to lock in their profit. The index fell further before bottom fisher emerged, paring some losses. High liquidity also meant that money flows rotated moving from stocks to stocks, some high-beta ones still limited up today while others fell to the floor.

Among hot and high liquid stocks which hit the ceiling today were HSG, ITC, KMR, PVT, SJS, VST, VIP, VIT. However, other hot issues such as VNE, SBT, SBS, OGC, KTB limited down.

Banking shares were mixed, CTG, MBB, VCB rose while EIB, STB eased. VCB briefly hit the ceiling today.

Property shares bucked the market trend to close up, NTL, SJS, ITC, TDH were among ceiling gainers.

Mineral shares continued to be dumped sharply, rubber shares fell today.

Property developer Licogi 16 (LCG), the most active stock on a trade of 4.3 million shares, rose 2.96% to end at VND13,900.

Tan Tao Investment – Industry Corporation (ITA), coming second in liquidity with 4.2 million shares changed hands, jumped 2.17% to settle at VND9,400.

Vietnam Electricity Construction Joint Stock Corporation (VNE) plunged 4.44% to finish at VND8,600 on a trade of 3.4 million units – the third most active.

On the Hanoi Stock Exchange, the HNX fell 0.53 point or 0.63% to 83.23. Trading volume rose 16.9%  to 101.2 million shares worth VND1.1 trillion.

The market breadth was flat where 177 stocks advanced, 176 fell, 43 closed unchanged of which 81 hit the ceiling, 30 limited down.

Hanoi-based lender Habubank (HBB), the most active on the measure with 12 million shares changed hands, sank 3.1% to end at VND6,100.

VNDirect Securities (VND), coming second in liquidity on a trade of 7.4 million units, edged down 0.74% to close at VND13,400 per share.

PetroVietnam Construction (PVX) fell 0.88% to settle at VND11,300 on a trade of 5.2 million shares – the third most active.