VN-Index declines for five straight days despite support from banking stocks

Selling pressure from pillar stocks made the VN-Index continue to drop on June 22 despite receiving support from banking and securities stocks.
Before the trading session, investors received positive information from the global stock market, especially the US stock market. The stock market of the world-leading economy rallied in the first trading session of a new week after dropping at the end of last week in the context that investors' concerns about the Fed's decision to raise interest rates were higher than the forecast and risks of economic depression.

Specifically, the Dow Jones Industrial Average jumped 641.47 points, or 2.15 percent, to 30,530.25 points. The S&P 500 also rose by 2.45 percent to 3,764.79 points. Both indexes recorded the strongest increase in June. The Nasdaq Composite alone surged 2.51 percent to 11,069.30 points.

The prosperity of the US stock market is the motivation for investors to jump in and catch the bottom right from the first minutes of the morning trading session. Although the VN-Index suffered the selling pressure from large-cap stocks and sometimes retreated sharply to 1,160 points, the recovery of banking and securities stocks pulled the index back to green.

However, the support from these two stock groups could not help the VN-Index to cease its losing trend when pillar stocks were suddenly sold off massively in the ATC session. As a result, the VN-Index continued to drop for five consecutive trading sessions, cutting 3.2 points to close at 1,169.27 points.

Despite losing points, the number of gainers on the HoSE dominated the electronic board with 295 stocks, of which 59 hit the ceiling. In contrast, there were only 181 losers and 42 stocks standing at the reference prices.

Specifically, GAS plummeted by 6.9 percent; MSN slumped by 4.5 percent; VNM sank by 4.2 percent; FPT declined by 5.2 percent; VCB slid by 2.2 percent; MWG fell by 5 percent; PNJ went down by 3.2 percent.

On the contrary, banking stocks had a prosperous session when most stocks closed in green. Noticeably, securities stocks suddenly became attractive after a long time of being sold off. Stocks in this group simultaneously closed in green and purple, such as SSI, HCM, VND, VCI, and FTS.

Market liquidity continues to be investors’ concern, with 592.4 million shares transferred, equivalent to a total trading value of more than VND13.31 trillion.

Contrary to the tug-of-war of the VN-Index, the HNX-Index and the UPCoM-Index managed to keep the green color throughout the trading session. The HNX-Index edged up 4.77 points to 269.39 points, while the UPCoM-Index inched up 0.6 points to 85.63 points.

By Hai Ho – Translated by Bao Nghi

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