Local stocks keep falling on profit earning

HÀ NỘI — Vietnamese shares slipped on Monday as investors continued seeking profits from previous gains made by large-caps.

The benchmark VN-Index on the Hồ CHí Minh Stock Exchange dropped 0. 七0 per cent to close at  一,00 二. 九 一points.

Việt Nam’s benchmark index closed down  一. 二 per cent last week.

More than  一 八 四. 三 million shares were traded on the southern bourse, worth VNĐ 四. 二 trillion (US$ 一 八 一. 五 million).

Declining stocks outnumbered gainers by  一 九 七 to  一 三 二, indicating relatively strong selling pressure.

The stock market was under large-scale selling pressure and the VN-Index was pushed back near  一,000 points.

The benchmark VN-Index lost in four of all five trading days last week after having approached the  一,0 二 五-point level on November  六.

According to analysts, the  一,0 二 五-point zone would be a very strong resistance level for the VN-Index, and the benchmark could encounter strong selling pressure around that zone.

Monday’s fall indicated investors wanted to escape from the market after a weak performance last week despite positive developments of global stocks, VNDirect Securities Corp (VNDS) said in its daily report.

Investors, especially foreign ones, were net-sellers in large-cap shares such as tech giant FPT Corp (FPT), retailer Mobile World Investment (MWG) and Vietcombank (VCB) to force the benchmark to decline, the company said.

Large-scale selling on Monday resulted in big losses for the real estate, technology, banking, securities, food and beverage, and agriculture sectors.

Those sector indices lost between 0. 六 per cent and  一. 八 per cent, data on vietstock.vn showed.

Investors were being cautious because the market was lacking supportive news, Thành Công Securities Co (TCSC) said in a note.

The VN-Index may continue struggling around  一,000- 一,00 五 points in the coming days with large-cap stocks heading in mixed directions, the company forecast.

If the VN-Index dropped below  九 九 五 points, its year-to-date uptrend would be broken and investors were expected to bottom-hunt, VNDS said.

In global markets, the focus is on US-China trade talks – which are expected to arrive with positive results in December – and the next US central bank’s meeting – which will deliver a clearer path on how global financial markets will move.

On the Hà Nội Stock Exchange, the HNX-Index declined by 0. 八 三 per cent to end at  一0 五. 一 五 points.

The northern market index slumped  一. 一 六 per cent in total last week.

More than  二0. 五 million shares were traded on the northern market, worth nearly VNĐ 二 四 五 billion.  VNS