Investors at Bao Viet Securities Co's trading floor. Many brokerage houses forecast the VN-Index will soon surpass its historic peak of 1,204 points in the next few sessions. — VNA/VNS Photo Huu Khoa
Shares advanced at the start of the week with record trading value, propped up by solid investor confidence in a long-term uptrend.
On the Ho Chi Minh Stock Exchange, the VN-Index increased 1.47 per cent to close Monday at 1,184.89 points. The southern market index gained nearly 6 per cent last week.
Overall market breadth was positive with 313 stocks climbing, of which 34 hit the intra-day limit growth of 7 per cent, while only 134 fell. Another 55 closed flat.
Large caps continued to be the market’s driving force when 19 of the top 30 largest shares by market value and liquidity gained value and 10 dropped. Many stocks soared with Vinhomes (VHM), Hoang Huy Investment Financial Services (TCH) and FLC Faros Construction (ROST) hitting the daily ceiling prices.
Other heavyweight stocks such as Vincom Retail (VRE), Vinamilk (VNM), Vietjet (VJC), Sacombank (STB), sugarmaker Thanh Thanh Cong-Bien Hoa SJC (SBT), PV Power (POW), Mobile World Investment (MWG) and Khang Dien Housing Trading and Investment (KDH) all climbed between 3-6.7 per cent each.
On the Ha Noi Stock Exchange, the HNX-Index increased 0.79 per cent to end Monday at 219.12 points. The northern bourse’s index also increased 5.4 per cent last week.
Liquidity boomed on Monday with more than 1.05 billion shares worth nearly VND22 trillion (US$948.3 million) traded in the two markets, of which the trading value through match-making orders hit a record of VND19.3 trillion.
Many brokerage houses forecast the VN-Index will soon surpass its historic peak of 1,204 points in the next few sessions due to strong cash flow from domestic investors.
According to MB Securities Company, the market is showing a clear trend of conquering 1,204 points – the historic peak established in early April 2018. The issue is when the VN-Index will reach this milestone.
Le Quang Minh, head of analysis at Mirae Asset Securities (Vietnam), predicted this would likely happen in the next 2-3 sessions. According to Minh, the domestic cash flow was still the main driver for the Index to go up. Large-cap stocks, especially real estate groups such as Vingroup, Vinhomes and Novaland led the market.
A report by Yuanta Securities Vietnam Company also endorsed the short-term uptrend of 1,200 points but has warned a divergence phenomenon based on Q4 and 2020 business results of listed firms.
“Thus, the short-term strategy is risk management and profit realisation with investments that have met expectations,” they said.
In contrast to domestic investors, foreign traders were net sellers on the two exchanges, unloading shares worth a net selling value of VND300 billion. — VNS