Banks cool but VN-Index hits new peak

Investor during trading session at the Alpha Securities Company Jsc in Ha Noi. – VNS photo Truong Vi

Bank stocks cooled down on Wednesday but the benchmark VN-Index still hit a new 10-year peak at 802.78 points, equivalent to an increase of 0.36 per cent over the previous session.

This was also the highest level since February 15, 2008.

The market breadth was positive on the HCM Stock Exchange with 175 stocks rising, 99 falling and 69 closing unchanged.

Large-cap stocks were the main support with 18 of the top 30 largest shares by market value and liquidity on the exchange gaining value while nine slumped.

Gainers yesterday expanded to a wide range of sectors, from steel industry, retail, food-beverage and energy.

Hoa Phat Group (HPG), the biggest listed steelmaker, topped advancers, up 4.1 per cent at VND36,900 (US$1.63) a share. With nearly six million shares changing hands, the shares were among the top 5 most active stocks by market volume.

Another steel company Hoa Sen Group (HSG) also increased 1.3 per cent. Big energy firms such as PV Gas (GAS), PetroVietnam Drilling and Wells Service (PVD) and Petrolimex (PLX) were up 0.9 per cent, 2.3 per cent and 1.8 per cent, respectively.

Realty stocks saw divergence. Big companies such as VinGroup (VIC), Novaland Investment Group (NVL) and Kinh Bac City Development (KBC) dropped between 1-2.4 per cent, smaller firms including Sacomreal (SCR), Khang Dien Investment & Trading House (KDH), Phat Dat Real Estate Development (PDR) and Dat Xanh Real Estate Service & Construction (DXG) climbed 1-4 per cent.

Banks cooled down when three of seven listed lenders advanced, three ended flat and one declined. Three banks maintaining growth yesterday included Vietnam Prosperity Bank (VPB), Sacombank (STB) and Eximbank (EIB).

On the Ha Noi Stock Exchange, the HNX-Index was up 0.68 per cent at 104.43 points.

Despite yesterday’s rally, many analysts have warned that liquidity barely improved so the market needs more signals to confirm a steady uptrend.

A total of 189.5 million shares worth nearly VND4.5 trillion ($198.2 million) were traded in the two markets yesterday, down 3 per cent in volume and almost unchanged in value compared to Tuesday’s figures.

These levels were also lower than the daily trading volume of 250-300 million shares and value of VND5-6 trillion per session in the past rallies. – VNS