Shares rebound on investor confidence
Shares rebound on investor confidence
Shares bounced back on Wednesday as large-cap stocks, especially financial stocks, recovered on investor optimism about market outlook.
The benchmark VN-Index edged up 0.24 per cent at 742.74 points on the HCM Stock Exchange. The southern market index decreased 0.43 per cent on Tuesday.
On the Ha Noi Stock Exchange, the HNX-Index rose 1.16 per cent to close at 92.97 points. The northern market index was down 0.88 per cent in the previous session.
Financial stocks recovered after a short fall on Tuesday on strong money inflows.
All nine listed lenders were gainers. Military Bank (MBB) hit the maximum rise of 7 per cent allowed for a single trading session on the HCM Stock Exchange. Other banks increased between 1.2-3.8 per cent.
Shares of brokerage firms also advanced with big names such as Saigon Securities Inc (SSI) and HCM Securities Corp (HCM), FPT Securities (FTS), BIDV Securities (BSI), Sai Gon-Ha Noi Securities (SHS) and MB Securities (MBS).
The securities and banking industries recorded an average growth of 3.4 per cent and 2.7 per cent, respectively, data on vietstock.vn showed.
Other large-cap stocks were also bullish, contributing to the positive sentiment in the market. Twenty of the top 30 largest shares by market value and liquidity on the main bourse in HCM City gained, while 10 slumped.
“When the market index falls below the support threshold of 740 points, smart cash flows return to large-cap stocks and pull the market up,” stock analysts at BIDV Securities Co wrote in a Wednesday’s report.
Money flowing regularly among different stock groups showed investor optimism in the market outlook, they said.
On the negative side, some big stocks declined and weighed on the market, including local biggest brewery Sabeco (SAB), petrol retailer Petrolimex (PLX), insurer Bao Viet Holdings (BVH), real estate giants such as VinGroup (VIC) and FLC Faros Construction (ROS).
Liquidity remained positive, with over 300 million shares worth nearly VND5.9 trillion (roughly US$260 million) traded on the two exchanges, down 8.3 per cent in volume but up 9.3 per cent in value compared to Tuesday’s figures.
Trade by foreign investors was mixed in the two markets. There unexpectedly were net foreign sales in HCM City of nearly VND192 billion, focused on ROS shares worth a net sell value of VND239 billion. On the Ha Noi exchange, foreigners remained net buyers for a modest net value of VND25.4 billion.
They were responsible for a total net buy value of VND615 billion in the two markets in the last two trades.
