Stocks drop on local selling

The Vietnam’s benchmark VN-Index tumbled the second time on June 20 as investors continued to sell off on speculation that the uptrend has not returned yet.

The measure of 285 companies and five mutual funds listed on the Ho Chi Minh Stock Exchange plummeted 1.66 percent, or 7.3 points, to close at 431.63 points.

Among the index members, 54 stocks raised, 167 dropped, while 69 remained unchanged.

Trading on the city bourse was down by 8 percent in volume and 13 percent in value over the previous trading session as 43.78 million shares changed hands at a value of nearly VND754 billion.

Saigon Securities Inc. (SSI), the country’s largest brokerage, won the spot of most active share by volume with 3.56 million shares changing hands.

It was followed by Saigon Thuong Tin Joint Stock Commercial Bank or Sacombank (STB) with 2.18 million shares traded.

Sacom Development & Investment Corporation (SAM), which collapsed 47.65 percent to close at VND7,800, came next with 1.81 million shares. The company will issue bonus shares to reward its current shareholders at a ratio of 1:1.

Domesco Medical Import Export Joint Stock Corporation (DMC) plunged 7.51 percent to VND19,700. The company will pay dividends for the year 2010 to its current shareholders in cash at a ratio of 12 percent on July 6.

Other losers on the city bourse included Traphaco Joint Stock Company (TRA), Thien Long Group Corporation (TLG), and Taya Vietnam Electric Wire and Cable Joint Stock Company (TYA).

Song Da Urban & Industrial Zone Investment & Development Joint Stock Company (SJS) rebounded 5 percent to close at VND33,600.

Phu Nhuan Jewelry Joint Stock Company (PNJ) climbed for three consecutive days, adding up 4.87 percent to VND23,700.

Savimex Corporation (SAV) recovered 4.73 percent to close at VND28,800.

The Hanoi’s HNX-Index of the smaller in the north also opened week in low note, dumping 1.7 percent, or 1.3 points, to 75.33 points. Trading on the northern market fell by 30 percent in volume and 33 percent in value over the previous trading session as 36.53 million shares worth VND417.23 billion changed hands.

Meanwhile, the UPCoM-Index of unlisted shares edged down 0.11 points, or 0.34 percent, to 32.5 points. A total of 130,583 shares changed hands at a value of VND1.43 billion as of 2 pm local time.

By Quy Doan

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