Vietnamese shares increase on both local markets this morning. — Photo cafef.vn

HA NOI (Biz Hub) – Vietnamese shares extended their gains on both local markets this morning, led by food and beverage producers.

The benchmark VN Index on the HCM Stock Exchange rose 0.5 per cent to close at 578.57 points, and the HNX Index on the Ha Noi Stock Exchange gained 0.3 per cent to end at 80.10 points.

The food and beverage sector was lifted by dairy firm Vinamilk (VNM), which advanced 2.2 per cent after the company planned to halt the operations of seven of its business activities in order to allow more foreign ownership.

Seafood company Hung Vuong JSC (HVG) also helped to lift the food sector, adding 2.7 per cent at the end of this morning.

Financial stocks rose after the European Central Bank (ECB) cut its deposit rate to negative 0.4 per cent from negative 0.3 per cent last night, and increased its buying of government and corporate bonds by one-third.

Among banks, Vietcombank (VCB) inched up 0.2 per cent, Sacombank (STB) gained 0.9 per cent, and the Bank for Investment and Development of Viet Nam (BID) rose 0.5 per cent.

Insurance companies such as Bao Viet Holdings (BVH), BIDV Insurance Corporation (BIC) and PVI Holdings (PVI) also made good gains. These stocks increased by 1.8 per cent, 0.9 per cent and 1.1 per cent, respectively.

Both local markets traded nearly 116 million shares, worth VND1.78 trillion (US$79 million). – VNS