Shares move up for a fifth session

Thursday, Jun 07, 2018 08:31

The stone bull statue at the Ha Noi Stock Exchange. — VNS Photo Doan Tung

Vietnamese shares extended gains Wednesday for a fifth session as positive investor confidence lifted sectors such as securities and banking-finance industries and several individual large-cap stocks.

The benchmark VN-Index on the HCM Stock Exchange rose 1.15 per cent to close at 1,034.50 points, extending gains for a third session with total growth of 9 per cent.

According to Bao Viet Securities Company (BVSC), after suffering some volatility in the beginning, the index rapidly reverted to uptrend that strengthened towards the last minutes.

Therefore, the index is expected to stay on uptrend in the next session, it said.

“Liquidity fell but remained above the 21-session average, while market breadth was positive. Investors were optimistic about the market’s uptrend and waiting for opportunities to buy in case of a correction. This is good news for the market’s recovery,” BVSC said in its daily report.

The HNX Index on the Ha Noi Stock Exchange added 1.89 per cent to end at 120.42 points, reversing from its lost of 0.11 per cent in the previous session.

More than 210 million shares were traded on both local exchanges, worth VND5.7 trillion (US$213.4 million).

Overall market condition was also positive with the number of gainers outnumbering the losers (250-208) while another 284 closed unchanged.

Tracking the southern bourse’s largest stocks by capitalisation and liquidity, the VN30-Index added 1.53 per cent, to end at 1,022.72 points, with 23 gainer s and 7 losers.

Banking, brokerage, retail and construction materials were the biggest gainers among 20 industries on the stock market.

The four sectors posted growth rates of 1.95 per cent, 1.69 per cent, 4.03 per cent and 3.16 per cent, respectively, according to data on

Among brokerage companies, Sai Gon Securities Incorporation (SSI), Bank for Investment & Development of Viet Nam Securities Company (BSI), HCM City Securities Corporation (HCM) were firms that saw their share prices rise between 1.1 and four per cent.

Bank stocks continued to rise across the board such as Vietcombank (VCB), Vietinbank (CTG), and Asia Commercial Bank (ACB).

Large-cap stocks had more positive movement than the overall market, driven by real estate developer Vingroup (VIC) and its affiliate Vinhomes (VHM), PetroVietnam Gas Joint Stock Corporation (GAS) and JSC Bank For Investment And Development Of Viet Nam (BID).

Meanwhile, oil-gas stocks had wide divergence as GAS and PetroVietnam Drilling & Well Services Corporation (PVD) rallied amid the decline of PetroVietnam Technical Services Corporation (PVS) and PetroVietnam Coating JSC (PVB).

According to BVSC, after a streak of gains, profit-taking pressure is likely to rise in the next sessions and challenge the overall market’s uptrend. As a result, the market may move sideways with divergence.

Meanwhile, BIDV Securities Company said that the market has experienced five recovery trading days since the bottom, and not a correction session yet.

“BSC Still believes that investors should not rush to buy, only invest a small portion of their portfolio to hold positions,” it added. — VNS

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