Pressure still comes from steel stocks?

(NLDO) - In the session of February 10, steel industry stocks fell in price when the US announced to soon impose a 25% tax on steel and aluminum imported from other countries.

Steel export company stocks such as HPG decreased by nearly 4.7%, HSG "evaporated" by 4.5%, NKG decreased by 3.6%...

Some securities companies said that the announcement of the new US tax has shaken markets, including Vietnam. Accordingly, Vietnamese stocks reacted in red when entering the trading session on February 10. Despite efforts to recover during the session, many stocks could not regain green due to the strong selling pressure from steel stocks and many other groups.

The most obvious manifestation is that the stocks of our country's leading steel exporting enterprises such as HPG decreased by nearly 4.7%, HSG "evaporated" by 4.5%, NKG decreased by 3.6%, GDA lost 4.8%. The stocks of domestic steel enterprises also fell sharply, such as SMC decreased by nearly 7% to the floor price, TLH went down by 2.7%,...

At the end of the session, the VN-Index decreased nearly 12 points (-0.94%), closing at 1,263 points.

Assessing the impact of the new US tax policy on exported steel and aluminum products, ACBS Securities Company believes that Hoa Phat Group (code HPG) is directly affected quite little. The reason is that the export ratio only accounts for 30% of total revenue, of which exports to the US account for about 5-10% of revenue.

However, HPG may be indirectly affected when Hoa Sen Group (code HSG) and Nam Kim Steel Company (code NKG) are two major partners consuming hot rolled coil steel of HPG, and at the same time have a high proportion of exports to the US, so they will face difficulties with tariffs.

ACBS Securities Company also assessed that the main risk of Ton Dong A is that the export ratio to the US and EU is too large, with over 65% of galvanized steel exported.

In response to the above information, VCBS Securities Company said the market is cautious about news about imposing tariffs on imported goods from the Trump administration.

"In this context, investors need to calmly restructure their portfolios for stocks that have strong corrections when the market recovers during the session, and continue to hold stocks that do not show signs of cash flow withdrawal" - VCBS Securities Company recommends.

Meanwhile, Rong Viet Securities Company believes that the possibility of a decline may continue in the next trading session. Therefore, investors should consider restructuring their stock portfolios to minimize risks.

Source: https://nld.com.vn/chung-khoan-ngay-mai-11-2-suc-ep-con-den-tu-co-phieu-thep-196250210172531045.htm