The two market indices had a positive week from November 6 to November 10, 2023 despite the correction at the end of the week. Specifically, the VN-Index closed the second consecutive week of increase with 2,31% compared to the end of the previous week, ending the week at 1,101.68 points. As for the HNX-Index, the index increased by 4,09%, to 226.65 points.
Along with the increase in scores, liquidity on both exchanges increased significantly compared to last week. Specifically, the average matched volume on the HOSE floor reached nearly 873 shares/session, an increase of 25%. Similarly, average liquidity on the HNX floor increased by 10%, to nearly 112 million shares/session.
Last week, the notable domestic news was that the National Assembly approved the 2024 Socio-Economic targets with GDP growth of 6%-6.5%, inflation of 4%-4.5%, and GDP per capita of about 4,700-4,730 USD.
*The National Assembly "finalized" the GDP growth target for 2024 at 6-6.5%
Internationally, the US Treasury Department issued a report on “Macroeconomic and foreign exchange policies of major US trading partners”, continuing to determine that Vietnam does not manipulate currency.
*Vietnam on US currency monitoring list
*The US Treasury Department continues to determine that Vietnam is not manipulating its currency.
Other notable information, more than a week after the November 2023 policy meeting, Mr. Powell shared that the Fed has prepared for the option of continuing to raise interest rates if necessary to bring inflation in the US to the target level of 2%.
*Fed chairman not confident monetary policy is tight enough
In terms of contribution, VIC, HPG and VHM (HM:VHM) were the top 3 stocks with the most positive impact on the VN-Index last week. These stocks helped the index increase by more than 7.3 points, with VIC alone contributing nearly 3.3 points to the index – the highest on the floor.
The excitement of the pair of “Vin” stocks last week came right after the news of the meeting between Vingroup Chairman (HM:VIC) – Pham Nhat Vuong and Indian billionaire Gautam Shantilal Adani – the 23rd richest person in the world on November 8, discussing potential business opportunities between India and Vietnam.
*Mr. Pham Nhat Vuong meets the second richest man in India
*Before meeting Mr. Pham Nhat Vuong, billionaire Adani had intended to invest 10 billion USD in Vietnam.
On HPG's side, the momentum from foreign investors contributed significantly to the recovery of this stock after a prolonged correction since the beginning of September. After half a month, HPG's market price increased by 16%, market capitalization increased by 21,000 billion VND to more than 154,000 billion VND.
Foreign investors' net purchase of HPG shares has come at a time when the company has been receiving positive news. In the third quarter of 2023, HPG reported a net profit of VND 2,000 billion, while in the same period last year it lost VND 1,786 billion. Moreover, the company's steel sales volume is also recovering strongly. In October, HPG's sales volume of hot-rolled coil (HRC (HM:HRC)), construction steel, and steel billets reached 635,000 tons, an increase of 29% over the same period and the highest level since June 2022.
On November 1 and 6, Ms. Vu Thi Hien and Mr. Tran Dinh Long - Chairman of HPG transferred more than 16.3 million shares and 26.5 million shares of HPG respectively to his son, Mr. Tran Vu Minh. The above transactions were negotiated with a total transaction value of 970 billion VND. After the transaction, Mr. Long's family and related companies are owning more than 2 billion HPG shares, at a rate of 35,07%.
