BSC - Vietnam Daily Monitor 2015.08.19 - The stock market to test 570-571

Summary

The macroeconomic news simultaneously influenced the market today. Stock market volatized negatively under the impact of adjusting exchange rates in the morning session but quickly recovered thanks to the decline in the domestic gasoline price and the news about loosening room for foreign investors. The two indices recovered, however only HNX-Index turned green. Market breadth was still negative. Security stocks surged.

Recommendation

Market prospects became clearer after SBV adjusted exchange rates. The pressure and the expectation on the exchange rate until the year end is negligible if there are no unexpected developments in the international currency markets. Market trends in the short term may be volatile, but in the medium term, the market position has become much steadier. Investors consider disbursing if the market successfully test the market bottom around 570-571.