VN-Index hits 4-month low

The selling pressure, which began from speculative stocks related to real estate developer FLC in recent months, continued to spread to blue chips and dragged the index down nearly 26 points.

This means VN-Index has dropped 4.38 percent since the beginning of the year.

Analysts of SSI of leading brokerage SSI Securities Corporation last week forecast that several correction sessions are expected and the index could bounce back once it hit the support level of 1,425-1,435 points.

The two market-driven sectors, banking and real estate, closed 3.02 percent and 1.69 percent lower on Monday, while several blue chips plunged to the lowest in months.

Trading on the Ho Chi Minh Stock Exchange (HoSE), on which the index is based, rose 20 percent to VND26.05 trillion ($1.14 billion), highest in six sessions.

The VN30 basket, comprising the 30 largest capped stocks, saw 19 tickers in the red, with SSI of leading brokerage SSI Securities Corporation falling 6.3 percent to the lowest in nearly nine months.

It was followed by three banking tickers, with CTG of state-owned lender VietinBank down 5.8 percent, VPB of private lender VPBank down 4.8 percent and STB of Ho Chi Minh City-based lender Sacombank down 3.7 percent.

HPG of steelmaker Hoa Phat Group closed its third session in the red with a 3.5 percent decrease.

Nine blue chips bucked the trend, led by PNJ of Phu Nhuan Jewelry with a 5.5 percent surge to a new peak.

Other gainers included GVR of Vietnam Rubber Group, VJC of budget airline Vietjet and TPB of private TPBank.

Foreign investors were net buyers to the tune of VND7 billion, mainly buying GEX of electrical equipment maker Gelex Group and DXG of real estate developer Dat Xanh Group.

The HNX-Index for stocks on the Hanoi Stock Exchange, home to mid and small caps, dipped 3.26 percent, while the UPCoM-Index for the Unlisted Public Companies Market fell 1.91 percent.