Delayed buying puts Vietnam stocks in red

VNStockNews.com - Vietnam’s benchmark VN-Index, a measure of 181 companies listed on the Ho Chi Minh Stock Exchange, fell 1.8 percent to the lowest since August 21 as investors are still worried about further market correction.

The benchmark lost another 9. 96 points to close the day 524.40, with trading around ten percent more active over Monday. Nearly 52.5 million shares were traded at VND2.3 trillion (US$128.7).

Among index members, 138 stocks declined and 26 gained while 17 remained unchanged.

Declines on the southern market were led by the Hanoi-based Vietnam Mechanization Electrification and Construction Joint Stock Co. (MCG), Rang Dong Plastic Joint Stock Co. (RDP) in HCM City and Cadovimex Seafood Import Export and Processing Joint Stock Co. (CAD) based in the Mekong Delta province of Ca Mau.

Bank and finance stocks continued being the most active in volume as Saigon Commercial Bank, or Sacombank, (STB) had nearly four million shares traded on the city bourse Tuesday. Saigon Securities Inc. (SSI), Vietnam’s largest brokerage, came next with three million shares and Vietnam Export and Import Bank, or Eximbank, (EIB) 2.75 million shares.

Vincom Joint Stock Co. (VIC), Vietnam’s second biggest listed property company, rose 3.3 percent to VND93,000, the highest since the company started trading in September 2007.

The real estate developer plans to raise US$150 million by selling convertible bonds on the Singapore Stock Exchange, it said in a statement filed on the Ho Chi Minh Stock Exchange website. Once converted into shares, the securities will trade on the city exchange.

Phuong Nam Cultural Joint Stock Co. (PNC), a book publisher and video producer, fell 4.6 percent to VND10,500, the lowest since July 22.

General Director Phan Thi Le plans to cut her holdings in the company to 1.62 percent from 5.5 percent by selling 387,700 shares, the company said in a statement filed on the city bourse. The sale will start Wednesday and will be completed by February 11, 2010.

The after-the-bell announcement also saw a bad performance on the northern market, as the HNX-Index lost 4.47 points, 2.46 percent, to 177.34. Around 25 million shares worth VND1 trillion changed hands.

The UPCoM-Index rose to 70.29, up 1.14 percent, 0.79 points, over Monday. A total of 46,608 shares were traded at VND629 million.

On the global market, US stocks rallied as robust buying in International Business Machines, American Express and Caterpillar paced the Dow Jones Industrial Average to a new closing high for the year. The Dow was up more than 200 points and 29 of the index’s 30 components finished in the green.