The market deeply fell Monday on negative consumer price index data for June.
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The consumer price index (CPI) for June was announced late last week, in which the figure was pulled back by 0.26 per cent month-on-month, 2.52 year-to-date and 6.9 per cent year on year. It was the first time the index has retreated since March 2009.
Although the figure showed cooling inflation, few analysts saw the result as a positive sign for the local economy.
“The fact that this month’s CPI was slipping a bit was quite in line with some worrying signals for possible economic contraction reflected in several macroeconomic indicators such as slow GDP growth, weak consumption, high inventories, unusually shrinking trade deficit and stagnated corporate investment,” said Saigon Securities Inc.
Investors’ sentiment was cautious in recent weeks with uncertainties about market trend. Ho Chi Minh Stock Exchange’s (HoSE) benchmark VN-Index lost 3.05 points or 0.71 per cent to end at 424.12 points.
Hanoi Stock Exchange’s (HNX) HNX-Index kept falling throughout the session, down 1.51 points or 2.06 per cent to end at 71.8 points.
Low-priced speculative stocks were sold the most. Some 100 stocks hit the floor in the southern bourse.
Mineral stocks largely tumbled with no bidding orders remaining at the close. Bac Giang Exploitable Mineral (BGM), Binh Thuan Mineral Industry (KSA), Nari Hamico Minerals (KSS), Hamico Group Mineral (KSH) all hit the floor.
Speculative real estate stocks massively hit the floor or nearly hit the floor. But a number of those stocks were purchased strongly, among them Licogi 16 (LCG), Ninh Van Bay Real Estate (NVT).
Shares of securities companies were largely sold out on investors’ worries about those companies’ business results. Saigon-Hanoi Securities (SHS), PetroVietnam Securities (PSI), Hai Phong Securities (HPC) along with numerous same-sector stocks tumbled on the HNX with few bidding orders.
Key pillar stocks Vincom Corp. (VIC) suddenly hit the ceiling to VND85,000 today. Masan Group (Masan Group (MSN) also gained 1 per cent.
However, the matching value of the HoSE stayed at VND734.6 billion ($35.5 million). Put-through value rose high pushing total liquidity to VND1.03 trillion ($49.8 million), with volume reaching 62.8 million shares.
HNX’s liquidity stayed at 42.4 million shares worth VND422 billion ($20.4 million).