VN stocks extend rally as large-caps advance
Vietnamese shares extended gains on Tuesday, led by insurance and pharmaceuticals amid the rise of coronavirus infections across the country.
The benchmark VN-Index on the Ho Chi Minh Stock Exchange gained 1.59 per cent to end at 827.57 points, totalling a two-day increase of 3.65 per cent.
Pharmaceutical and insurance stocks led the market rally, with the two sectors' indices growing 2.9 per cent and 3.3 per cent, according to vietstock.vn.
The total number of coronavirus-infections in Viet Nam on Tuesday was 652, with eight deaths.
In the insurance sector, Bao Viet Holdings (BVH) and BIDV Insurance (BIC) jumped 4.9 per cent and 3.6 per cent, respectively.
DHG Pharmaceutical JSC (DHG) soared 5.8 per cent, Vidipha Central Pharmaceutical JSC (VDP) surged 4.8 per cent, and SPM Company (SPM) rose 3.4 per cent to lift the health care and pharmaceutical sector.
In addition to the insurance and pharmaceutical sectors, bank stocks also made good gains to boost the banking industry index 2.7 per cent.
The largest lender by market value Vietcombank (VCB) jumped 3.9 per cent while others such as Bank for Investment and Development of Vietnam (BID), Vietinbank (CTG) and Military Bank (MBB) increased between 1.2 per cent and 1.9 per cent.
The technology and information sector index was lifted 1.6 per cent after a report by the Nikkei Asian Review said the South Korean electronics firm Samsung will move its last factories to Viet Nam.
As the European Union-Viet Nam Free Trade Agreement (EVFTA) took effect on August 1, seafood processing and consumer production sectors advanced by 2.2 per cent and 3.1 per cent overall.
“The VN-Index may touch the resistance zone of 840-850 points and the market sentiment is still fragile with the news about the COVID-19 pandemic,” Thanh Cong Securities Co (TCSC) said in its daily report.
The recent rally confirmed the short-term bottom of 775-785 points for the VN-Index, TCSC said.
On the Ha Noi Stock Exchange, the HNX-Index was up 1.87 per cent to finish Tuesday at 112.50 points.
The northern market index gained 2.71 per cent on Monday.
Nearly 323 million shares were traded on the two exchanges, worth VND4.66 trillion (US$202.5 million).
Foreign investors net-sold more than VND131 billion worth of local shares while they net-bought VND6.7 billion on Monday.