Large-cap stocks were leading the market in a 7-session winning streak, with VIC, VHM, MSN, GAS, GVR taking profit this morning. Although some bank stocks turned around, it was not enough to offset the losses, causing the VN-Index to “break the record” with a domination of declining stocks.
The closing index this morning lost 0.4%, equivalent to -4.96 points. The highest point of the VN-Index was reached at 10:10 am with an increase of over 4 points. The second half of this morning’s session saw continuous declines as major stocks faced significant pressures.
VHM decreased by 2.28%, VIC decreased by 2.37%, GAS decreased by 1.02%, HPG decreased by 1.03%, GVR decreased by 1.24%, and MSN decreased by 1.31%. These 5 stocks caused the VN-Index to lose the most points. They have also performed well in the past few sessions after a long period of consolidation. The accumulation volume is quite large and the short-term profit margin is optimistic, which has pushed short-term profit-taking transactions. This is a normal development, especially when the VN-Index is approaching its highest point in 2023, which is considered an important resistance level.
The VN30-Index closed the morning session down 0.45% with 7 gainers and 21 losers. Interestingly, among the 7 gainers, bank stocks accounted for the majority, including STB, TPB, CTG, VIB, BID, and VPB. However, this group only had 3 significant gainers: STB increased by 2.61%, TPB increased by 1.87%, and CTG increased by 1.14%. In addition, only CTG is among the top 10 market capitalization, so the gains cannot offset the losses of the group.
On the other hand, bank stocks in general were not strong, with only 12 out of 27 stocks posting gains, and the majority of gains were weak. This is just the usual recovery of the banking group after days of profit taking. The “bouncing” phenomenon in the leading group did not bring enough balance to the index.
The differentiation of stocks has also significantly diminished. Just a few minutes after the opening, the VN-Index plummeted due to the impact of VIC, VHM, VNM, GAS, and the banks had not recovered well. The subsequent increase showed certain bottom-fishing efforts, with a good breadth of the HoSE floor with 220 gaining stocks versus 201 losing stocks when the index peaked. However, the second half of the session witnessed broad-based selling pressure, and the morning session ended with 149 gaining stocks versus 312 losing stocks.
Therefore, profit-taking is quite common rather than simply pressuring specific stocks to make the VN-Index turn red. Many stocks have had positive gains in the sessions since the beginning of February showing signs of weakening due to increased selling. The matched trading volume of the two listed exchanges increased by about 5% compared to yesterday morning, reaching VND 11,776 billion, but the HoSE increased nearly 11% with more than VND 11,140 billion. The narrow breadth in this increasing trading volume situation reflects the selling pressure.
Statistics show that more than 49% of stocks experiencing morning trading have fallen by at least 1% compared to the day’s peak. This is a relatively high ratio, especially when considering the market breadth, investors have taken advantage of price increases to sell. HoSE now has only 28 gaining stocks and only remains at the highest level, with most of the liquidity being very low.
However, the decrease in prices is not significant, there are also only 86 stocks on the entire exchange that have fallen by over 1% compared to the reference level, out of a total of 312 losing stocks. The significant price reduction pressure has led to a large decline in trading volume, high liquidity in VND with VND 412.2 billion, a price decrease of 1.96%; HPG with VND 394 billion, a decrease of 1.03%; NVL with VND 376.3 billion, a decrease of 1.14%; SSI with VND 335 billion, a decrease of 1.27%; DIG with VND 327.5 billion, a decrease of 1.09%… In general, there are 13 stocks with trading volume exceeding VND 100 billion and a decrease of over 1%.
On the other hand, there are still 41 stocks that have increased by over 1% this morning, but the liquidity is too low. A few stocks have been well-supported with liquidity over VND 50 billion, including TIP with an increase of 6.93% and VND 92.3 billion; KDH increased by 3.15% with VND 157.5 billion; CSV increased by 2.91% with VND 77.5 billion; DGC increased by 2.63% with VND 374 billion; STB increased by 2.61% with VND 1,059.1 billion; TPB increased by 1.87% with VND 337.2 billion; AAA increased by 1.83% with VND 55.5 billion; VGC increased by 1.51% with VND 77.2 billion; CTG increased by 1.14% with VND 215.3 billion.
