VietNamNet Bridge – The VN-Index closed off a hair yesterday, June 29, to 460.02, a loss of just 0.21 per cent, as trading volumes on the HCM City Stock Exchange slowed to 27 million shares, worth a combined VND1.1 trillion (US$61.8 million).
Last week, capital began flowing away from real estate shares, and there were signs that it was being poured into the banking and finance areas.
Foreign investors finished the day as net buyers of 532,000 shares, with a net value of VND52 billion ($2.9 million) and an overall volume of 8 million trades. 
On the Ha Noi Stock Exchange, the HNX-Index also dropped by 1.25 per cent to end the day at 153.80. The value of the day's trades on the northern bourse was VND505.5 billion ($28.4 million) on a volume of 14.3 million shares. Foreign investors there accounted for more than 3 million of this total, worth a combined VND140.3 billion ($7.9 million).
Banking shares continued to lead both markets, with Sacombank (STB) generating orders for 4.7 million shares, or 17 per cent of the total volume on the southern exchange, and Asia Commercial Bank (ACB) a volume of 2.1 million shares, 15 per cent of the trades on the northern bourse.
Last week, capital began flowing away from real estate shares, and there were signs that it was being poured into the banking and finance areas, said Sai Gon-Ha Noi Fund Management Co analyst Ngo Van Minh.
Meanwhile, domestic stock indices were still in a downward cycle of adjustments that began in mid-June, Minh said. Market moves were now "complicated and hard to predict [as] market psychology is a mix of hesitation, caution and hope".
All eyes have turned to the listing of shares by Vietcombank. Many investors expected the listing would support market growth, but "there are many opinions expressing concern that market increases will be opportunities for major organisations and funds to unload their holdings," Minh said.
He noted that Dragon Capital and PetroVietnam Finance had dumped large quantities of shares from their portfolios recently.
The spike in the price of Bao Viet Holdings (BVH) immediately after the shares were listed - with Vietcombank likely to turn in a similar performance - was "not very likely to be good for the market at this time," he added. Immediately before and after the BVH listing, he noticed, shares were gradually withdrawn from other insurance shares including Bao Minh Insurance (BMI), PetroVietnam Insurance (PVI) and Viet Nam National Reinsurance (VNR).
Minh predicted the market would play out the week with mixed developments and on overall downward trend. "Weakened demand during last week is truly hindering market increases," he said.
But Viet Capital Securities Co analysts wrote in a report that if capital flows remained stable this week with an average trading value of VND1.5 trillion per day, they could sustain the market. Below that level, he said, "the market would likely experience a phase of adjustments before second-quarter business results are announced."
The fledgling unlisted public companies market (UPCoM) continued to struggle, following another 6.89 per cent yesterday to 81.83. Only Phong Phu Pharmaceuticals (PPP), up 1.2 per cent, and cable producer Truong Phu Co (TGP), up 1.2 per cent, managed gains on the day.
Market value on UPCoM fell 20 per cent from the previous trading session to VND4 billion ($224,700) on a volume of nearly 278,000 shares. Market leader SME Securities (SME) accounted for 60 per cent of the volume, but with only about 170,800 shares traded.
VietNamNet/Viet Nam News
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