Home » Stock » Stocks rise to over 400 points

The rally Vietnam Stocks rise to over 400 pointsof top heavyweights, especially BVH, VIC and VNM together with banking stocks, helped the local market break above the 400-point level in the fourth straight rising session on Monday, with the VN-Index advancing 2.88 points, or 0.72%, against the previous session to close at 401.75.

The market opened above the 400-point level and hit resistance at around 405 points where sellers got the upper hand, causing the index to lose some ground until the close.

Liquidity on the Hochiminh Stock Exchange (HOSE) sharply declined as volume and value tumbled 27% and 12% against last Friday to 38.8 million shares worth VND593 billion. The put-through market reported a large transaction of 5.3 million MBB shares with the total value of VND77 billion.

The market saw 99 gainers versus 119 losers, including 35 stocks shooting up to the ceiling prices and another 35 closing at their floor prices. Large-caps played a leading role with gains in VCB, STB, BVH and VIC generating the biggest support for the index while losses in GAS, DPM, KDC and PVD had the opposite effect.

Eximbank (EIB) led the market for liquidity, jumping 3.4% from the session earlier to VND15,200 per share with 1.43 million shares changing hands. PetroVietnam Fertilizer and Chemicals Corporation (DPM) was the second most actively traded stock but it fell 3.6% to VND37,500 on the volume of 1.42 million shares.

Foreigners boasted a net buying value of VND12.2 billion on the exchange, and made up 18.3% and 16.2% of the market’s buying and selling value respectively.

The Hanoi market corrected slightly after touching the resistance line of 60 points while turnover contracted around 33% to VND172 billion. The HNX-Index slid 0.53 point, or 0.89%, from the previous session to close at 58.7.

Some 79 stocks gained grounds while 132 stocks closed lower, of which 28 stocks closed at the ceiling prices and 44 stocks closed at the floor prices. Foreign investors accounted for 9.45% of the buying value but a mere 0.4% of the selling side.

HCMC Securities Corp. noted that activity on HOSE was characterized by foreign portfolio reshuffling, resulting in significant buy orders for a number of large caps, while in Hanoi, talk of further arrests or investigations dominated sentiment, but in a much more moderated way that had been seen in the past. Altogether both markets hovered in a narrow trading range on Monday with investors looking for direction.

According to Viet Capital Securities Co. (VCSC), technical indicators suggested both indices might still retrace slightly on Tuesday. In particular, the correction might occur on tickers which have risen substantially recently.

“However, we do not think that the retracement will be too strong so investors may take an advantage of the corrections to restructure investment portfolios. The support zones are 393-395 points for the VN-Index and 58 points for the HNX-Index,” VCSC said.

(Sai Gon Times)

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