Stocks bounce back, courtesy bottom-picking and steelmakers
Stocks bounce back, courtesy bottom-picking and steelmakers
Shares rebounded on both local exchanges on Thursday morning as investors scooped up stocks that had fallen deeply in the previous session after Donald Trump won the US presidential elections.
The benchmark VN Index on the HCM Stock Exchange rose 0.9 per cent to close at 676.49 points, while the HNX Index on the Ha Noi Stock Exchange gained 1.3 per cent to end at 81.11 points.
Viet Nam’s stock market tumbled during Wednesday’s intra-day trading, but made up a little towards the end of the session as investors tried to pick up stocks that had suffered from the sell-off, which was a reaction to news of Trump’s victory.
The market continued to have good momentum on Thursday morning, with 23 of the 30 largest companies by market capitalisation advancing during the session.
Stocks that traded negatively on Wednesday, such as dairy producer Vinamilk (VNM), PetroVietnam Gas Corp (GAS), property developer Vingroup JSC (VIC) and Vietcombank (VCB), recovered. VNM gained 0.9 per cent, GAS edged up 0.7 per cent, VIC increased by 0.5 per cent and VCB by 1.3 per cent.
Steelmakers were the strongest gainers on Thursday morning, after official data revealed that Viet Nam’s total steel production for 2016 was estimated at 26.8million tonnes and that the demand for steel would remain high, with an annual growth rate of 15 per cent.
Steel producers such as Hoa Phat Group (HPG), Hoa Sen Group (HSG) and Tien Len Steel JSC (TLH) went up by 2 per cent, 2.9 per cent and 4 per cent, respectively.
Market trading liquidity remained low with about 91million shares valued at VND1.42trillion (US$63 million) being traded.
