VN Index up for a second day

Tuesday, Jan 24, 2017 08:52

Underwriters at the Ha Noi Stock Exchange. The HNX Index yesterday fell 0.3 per cent to close at 83.01 points. — VNA/VNS Photo Hoang Hung
The VN Index on the HCM Stock Exchange advanced further yesterday after banks and some large-cap companies released their quarterly and yearly earnings reports, boosting investor confidence.

The benchmark inched up 0.1 per cent to close at 687.15 points, extending its gain of total 0.7 per cent for a second day.

The banking sector was lifted by Vietcombank (VCB), Vietinbank (CTG) and Bank for Investment and Development of Viet Nam (BID) with growth rates ranging from 0.3 per cent to 2.2 per cent.

Vietcombank late last week announced its net profit for 2016 was VND6.82 trillion (US$303.3 million), a yearly rise of 28 per cent. Vietinbank early this month estimated a profit of VND8.25 trillion for last year, an increase of 12 per cent from 2015.

In the rubber industry, Dong Phu Rubber JSC (DPR) and Tay Ninh Rubber JSC (TRC) also contributed to the market’s gain after posting positive post-tax profits for the fourth quarter of 2016.

DPR recorded a post-tax profit of VND69 billion in the fourth quarter, an annual increase of 163 per cent, while TRC saw its figure rise 27 per cent to VND150 billion.

Among the 30 largest listed companies by market capitalisation, PetroVietnam Gas Corp (GAS) also recorded positive earnings for 2016. The company reported a net profit of VND7.07 trillion, exceeding last year’s targeted profit by 36 per cent. The corporation’s shares edged up 0.7 per cent yesterday.

Hoang Quan Consulting, Trading and Real Estate Services Joint Stock Corporation (HQC) surged 6.9 per cent after the company announced last week it would buy back 50 million shares between January 25 and February 23.

On the opposite side, the HNX Index on the Ha Noi Stock Exchange fell 0.3 per cent to close at 83.01 points. The northern market index ended up 0.4 per cent on Friday.

Asia Commercial Bank (ACB), finance-insurance firm PVI Holdings (PVI) and Viet Nam Construction and Import-Export Corp (VCG) were the large-cap stocks that dragged the northern exchange down.

Market trading liquidity on both local exchanges continued to decline as “money tends to flow out so that investors indulge in year-end consumption,” while some of them are waiting for a “clearer shot” to make their investments, Bao Viet Securities Company said in a note.

More than 110.8 million shares were traded, worth VND2.18 trillion, a decline of 8.2 per cent in trading volume and 12 per cent in trading value from last week’s daily average figures. — VNS

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