VCSC Daily - 10% Gasoline price hike may dampen market sentiment – Direct impact on CPI from gasoline adjustment is about 0.37% – Market plunge early but investors jump back in to pare losses – Vietnam Government bond rise on expected 1% cut on policy ra

• 2012-03-07T00:00:00
• Market Commentary

10% gasoline price hike may dampen market sentiment. Prices at the pump will increase by VND2,100 per litre (+10%) effective 4PM Wednesday afternoon. The adjustment did not surprise us as retail prices were 9.6% lower than cost. Although the public was forewarned and rumours were already flying a couple days earlier, the move may still dampen market sentiment tomorrow and extend profit-taking that started today.