An investor on the MB Securities (MBS) trading floor (Photo: VNA) Hanoi (VNA) - Shares declinedon the HCM Stock Exchange on October 31 as large-cap stocks were hit byprofit-taking after the market advanced for two consecutive sessions.
The benchmark VN Index lost 1.05 percent toend at 837.28 points. It gained total 1.8 percent in the previous two days.
More than 192 million shares were traded onthe southern bourse, worth 4.04 trillion VND (179.5 million USD).
The trading figures posted a decline of 2.6percent in volume and 10.4 percent in value compared to Monday.
The market breadth was negative with 185declining stocks, 87 gaining ones and 45 others ending flat.
The VN30 Index, which tracks theperformance of 30 biggest stocks by market capitalisation and tradingliquidity, fell 0.70 percent to 831.62 points.
The VN30 basket was dominated by 21 declininglarge-cap shares while only six stocks made gains.
Investors’ profit-taking was blamed for thedecline of the stock market as it strongly hit large-cap stocks, which hadplayed an important part in pushing the benchmark VN Index to its 10-year highof 845 points on October 30.
Among those declining large-caps, FLC FarosConstruction (ROS) slumped 4.6 percent after having soared more than 89 percentsince September 27.
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Investors were also disappointed by thecompany’s performance in the third quarter and in the first nine months of theyear.
FLC Faros announced its post-tax profit forthe third quarter fell 20.8 percent to 62.33 billion VND, cutting itsnine-month combined post-tax profit by 10.3 percent to 208 billion VND.
Other large-cap stocks that alsounderperformed on the pressure of profit-taking included Coteccons ConstructionCo (CTD), PetroVietnam Gas (GAS), food and beverage producer Masan (MSN) andbrewer Sabeco (SAB).
Among those stocks, MSN edged down 0.8 percentfollowing its four-session increase of total 7.1 percent.
According to analysts at Bao Viet SecuritiesCo, the benchmark index is forecast to fall further in the next sessions as themarket lacks supportive business information and large-cap stocks show signs oflosing momentum, resulting in the high selling pressure across all stocks.
The market breadth became more negative aslarge-cap stocks were not strong enough to lift the market, making investorsentiment weaker on worries over the slump of the index, BVSC analyst Tran XuanBach said in the company’s report.
Cash flow would still focus on large-capstocks as the market was showing a big divergence among all stocks, signalingrough trading sessions ahead, he said, adding that the VN Index could fall backto the range of 825-830 points.
On the Hanoi Stock Exchange, the HNX Indexlost 0.77 percent to end at 105.16 points. The northern market index hasdeclined by total 1.2 percent after the last two sessions.
More than 44.4 million shares were tradedon the northern market, worth 497 billion VND.-VNA
VNA
