Vietnamese and Japanese firms receive support to expand operations The Japan Trade Promotion Organisation (JETRO) will host an online scheme on March 3 in Hanoi aimed at connecting Japanese businesses in the field of manufacturing and production, known as Monozukuri in Japanese term to facilitate co-operation amid the negative impacts caused the COVID-19 pandemic. According to a representative from the JETRO, the business matching programme will see the participation of 40 Japanese companies for the purpose of accelerating the development of the country’s supporting industry. At present, the scheme has received registration for 50 negotiations from enterprises from Japan, Vietnam, and Taiwan (China), whilst it is still receiving registration from businesses wishing to purchase and seek Japanese suppliers in the Monozukuri field until March 1. A recent survey conducted by the JETRO unveiled that Japanese businesses remain keen on the Vietnamese market as the country is viewed as an alternative investment destinations for Japanese enterprises looking to move away from China due to the COVID-19 pandemic. The survey indicates that approximately half of Japanese enterprises in the nation plan to expand their production activities, while roughly 70% of them seek opportunities to increase revenue in the local market. Most notably, 46.8% of Japanese enterprises unveiled that they have initiated plans to expand their business in the nation over the course of the next two years, with the expansion rate ranking fourth, the highest in the Asia-Pacific region. Japanese enterprises have therefore attributed their expansion to an increase in revenue in the domestic market and high growth potential. Furthermore, Japanese firms are also considering re-establishing some supply chains which have been impacted by the COVID-19 pandemic, with Vietnam able to capture the attention of suppliers and buyers of materials globally. VN-Index finishes lower as …
Vietnam stock market
VN-Index extends losses as selling pressure persists
The market ended mixed on Friday morning as many big stocks still faced selling pressure. The benchmark VN-Index on the Hồ Chí Minh Stock Exchange (HoSE) fell 0.22 per cent to 1,165.95 points in the morning session while overloading occurred again on the southern bourse. However, the market's liquidity was still high in the morning session with more than 521.5 million shares traded, worth over VNĐ12.9 trillion. Big stocks from banking, real estate, materials and retail sectors extended losses with many down more than 1 per cent, leading to the downward trend of the market. The VN30-Index declined by 0.31 per cent to end the morning session at 1,170.7 points. Top five stocks influencing the market's trend were Vinhomes JSC (VHM), down 1.7 per cent, Vietcombank (VCB), down 1.44 per cent, and Việt Nam Dairy Products JSC (VNM), down 1.55 per cent. Meanwhile, gas and oil stocks still posted outstanding performance this morning with PetroVietnam Power Corporation (POW) hitting the maximum daily gain of 7 per cent, while PetroVietnam Gas Joint Stock Corporation (GAS) rose 2.97 per cent. On the Hà Nội Stock Exchange (HNX), the HNX-Index climbed 0.14 per cent to 256.12 points. The HNX30-Index also rose 0.13 per cent to 376.91 per cent. VNS …
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Many solutions to prevent network congestion on HoSE
Meanwhile, on the Hanoi Stock Exchange (HNX), the HNX-Index made a breakthrough of nearly 3 percent. At the end of the trading session, the VN-Index inched up by 0.34 points, or 0.03 percent, to close at 1,186.95 points, with 270 gainers, 168 losers, and 64 unchanged stocks. The HNX-Index jumped 6.16 points, or 2.48 percent, to 254.1 points, with 137 gainers, 66 losers, and 57 unchanged stocks. Foreign investors continued to net sell nearly VND500 billion on the whole market. Of which, they net sold VND470 billion on the HoSE. Liquidity remained at a high level with a total trading volume of 819 million shares, worth more than VND18.1 trillion. Of which, put-through transactions accounted for nearly VND1.77 trillion. The stock market traded with caution from investors after the new General Director of the HoSE Le Hai Tra spoke in the media about a solution to prevent network congestion, which possibly is to raise the minimum round lot from 100 shares to 1,000 shares to reduce the load for the trading system. According to the HoSE’s calculations, increasing the round lot to 1,000 shares can reduce the total number of trading orders by 40-50 percent, at the same time, it can pave the way for new heights of market liquidity. Mr. Tra said that that might only be a temporary solution to solve the current network congestion situation. In the future, when the new stock trading system comes into operation, there will be an odd-lot board, and it is also possible to return to the current round lot of 100 units. However, this opinion faced considerable opposition from investors because it will make it difficult for investors, especially small investors. Because they will have to spend 10 times as much as currently to buy stocks on the HoSE. Another solution to prevent network congestion for the HoSE is to transfer some stocks from the HoSE to the HNX, the State Securities Commission (SSC) has just sent documents to the HoSE, the HNX, and the Vietnam Securities …
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