Shares climb for third day on strong cash flow

Gas supply system of PV Gas Cà Mau. PV Gas (GAS) topped the list of shares lifting the VN-Index most with a growth of  三. 五 per cent. — VNA/VNS Photo Huy Hùng

HÀ NỘI — Shares climbed for a third day this week on stronger cash flow but divergence is also expanding during the earnings season.

The VN-Index on the Hồ Chí Minh Stock Exchange increased 0. 六 六 per cent to close Wednesday at  一, 二 四 九. 七 六 points, lifting its gain this week to  三. 六 per cent.

On the Hà Nội Stock Exchange, the HNX-Index added 0. 七 七 per cent to close at  二 九 八. 一 一 points. The northern market’s index has gained  三. 三 per cent in the past three days.

Liquidity remained positive with  八 七 七 million shares worth VNĐ 一 九. 三 trillion (US$ 八 三 三 million) being traded in the two markets. Especially, trading value in HCM City’s exchange hit a  五0-day high of VNĐ 一 七. 六 trillion.

“The market’s uptrend is prolonged due to the positive spread of cash flow,” said Phương Phạm, a stock analyst at Việt Dragon Securities Co in a daily report.

“However, with the increase of the two previous sessions, the short-term profit-taking cash flow also took advantage. This led to a divergence in some industry groups, especially those that had a positive move.”

Overall market condition was good with  三 九 八 stocks rising,  二 六 五 declining and  二 四 一 closing flat.

PV Gas (GAS) topped the list of shares lifting the VN-Index most with a growth of  三. 五 per cent. However, in the oil and gas sector, other big players – PV Power (POW) and Petrolimex (PLX) – decreased 0. 四 per cent and 0. 二 per cent, respectively.

Steel shares also impressed the market. Hoa Sen Group (HSG) and Nam Kim Group (NKG) hit the ceiling prices of  七-per-cent growth while the biggest producer Hòa Phát Group (HPG) climbed  三. 七 per cent. Tiến Lên Steel JSC (TLH) and SMC Trading Investment (SMC) rose respectively  五. 九 per cent and  五 per cent.

On the dark side, Vinhomes (VHM) and Vincom (VIC) drove down the market most. After leading the market upturn on Tuesday, VHM turned to decline, losing  一 per cent while VIC dropped 0. 九 per cent.

Other big losers included Vietnam International Bank (VIB), construction giant Becamex IDC (BCM), Techcombank (TCB), insurer Bảo Việt Holdings (BVH) and Mobile World Investment (MWG).

“Facing the short-term resistance level of  一, 二 四0- 一, 二 五0 points, the VN-Index is likely to fluctuate and absorb supply before continuing to recover to the target price range of  一, 二 六0- 一, 二 八0 points,” Phương said.

Foreign traders moved in opposite directions on the two exchanges. They were responsible for a net buy value of VNĐ 六 五 六 billion in HCM City but offloaded shares worth a net value of VNĐ 六 二 二 million in the capital city. — VNS