Vietnamese stock market nosedives amidst sell-offs

The VN-Index declined steeply on May 19, though most securities companies predicted that they would recover after falling for eight consecutive sessions. However, the market mostly received bad news this morning, as US stock markets lost 115 points.

The shares of 228 companies and four close-ended funds listed on the Ho Chi Minh Stock Exchange closed at 494.9 points, down 13.4 points, or 2.64 percent. Trading volume increased by more than 60 million shares, worth VND1.84 trillion.

According to the index, 7 stocks rose, 212 dropped, and 13 remained unchanged.

Rubber Joint Stock Company (DRC) of Danang, the HCMC-based construction firm, LICOGI 16 Joint Stock Company (LCG), and Sao Vang Rubber Joint Stock Company (SRC), a maker and processor of rubber products in Hanoi, spurred declines in the southern market.

Between January 4 and May 11, Dao Thi Thu Huong, sister of Dao Thi Hoa, a member of Sao Vang Rubber JSC’s Board of Directors, registered to sell 1,717 shares, but only sold 1,210 shares. After failing to agree with buyers on a price for the remaining shares, she was no longer in the mood to sell.

Among active shares, the Saigon Securities Inc. maintained its top spot, with more than 2.95 million shares traded on the Ho Chi Minh City’s bourse.

Saigon Commercial Bank or Sacombank (STB) finished second with 2.38 million shares changing hands, and Petro Vietnam Finance Joint Stock Corporation (PVF) followed in third, with 1.18 million shares.

Among the few gainers, Ma San Group Corporation (MSN) once again managed to maintain upwards momentum, adding up 4.97 percent to trade at VND48,600.

Materials - Petroleum Joint Stock Company (COM) climbed to VND55,000, up 3.77 percent. Yesterday, it closed down 1.85 percent.

MTGas Joint Stock Company (MTG), located in neighboring province of Long An, rose by 2.94 percent to VND21,000.

The Hanoi-based HNX-Index tumbled 6.51 points or 3.9 percent to 160.51. More than 40.3 million shares worth VND1.27 trillion changed hands.

The UPCoM-Index didn’t perform any better, ending up 50.05, down 4.57 points. A total of 236,355 shares were traded, totalling VND3.79 billion.

By Ngoc Tri

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