Market mixed, VN-Index extends strong rallies

Market mixed, VN-Index extends strong rallies

Over the past two sessions, the benchmark gained nearly 70 points, moving above the 1,760-point threshold and approaching the 1,800-point level.

A PV Drilling worker operating equipment at an oil cite. Shares of the company surged 5 per cent on Thursday, supporting the market's uptrend. — Photo pvdrilling.com.vn

The market benchmark extended its rally for a second consecutive session on Thursday, driven primarily by Vingroup-related and energy stocks despite widespread losses across several other Asian markets.

The VN-Index, representing the Hochiminh Stock Exchange (HoSE) increased 22 points, or 1.26 per cent, to 1,760.63 points. Over the past two sessions, the benchmark gained nearly 70 points, moving above the 1,760-point threshold and approaching the 1,800-point level.

However, liquidity weakened, with trading value on the HoSE falling to nearly VNĐ15.3 trillion (US$592 million), down sharply from the previous session.

Vingroup stocks provided the main support for the benchmark. Vingroup (VIC), Vinhomes (VHM) and Vinpearl (VPL) together contributed 19.6 points to the VN-Index's gain.

VIC surged 4.16 per cent, while VHM advanced 3.56 per cent.

Energy stocks were another bright spot, with several oil and gas companies recording ceiling gains or strong advances, including Petrovietnam General Services Corporation (PET), PV Drilling (PVD), Petrovietnam Refining and Petrochemical Corporation (BSR), PetroVietnam Chemical and Services (PVC) and PetroVietnam Transportation Corporation (PVT).

The sector's positive performance came as crude oil prices remained above $110 per barrel amid escalating tensions in the Middle East, raising concerns about potential disruptions to global energy supplies.

The benchmark continued its previous session's recovery, even as major Asian stock markets experienced sharp declines.

During the session, Japan's Nikkei 225 fell 2.65 per cent, Hong Kong (China)'s Hang Seng Index lost 3.1 per cent, China's Shanghai Composite declined 1.48 per cent and South Korea's Kospi dropped 3.52 per cent.

Despite the strong gains, Kirin Securities cautioned that the rally remained heavily dependent on a small group of large-cap stocks linked to Vingroup.

The securities firm said that several strong sessions, combined with the concentration of gains in a handful of heavyweight stocks, were insufficient to confirm a sustainable market reversal.

In the short term, Kirin Securities' analysts said the recovery could lift the VN-Index towards the resistance range of 1,770–1,780 points. However, they advised investors against rushing to initiate new positions in a large number of stocks.

Meanwhile, the Hanoi Stock Exchange (HNX)'s HNX-Index moved in the opposite direction, falling 0.59 points, or 0.23 per cent, to close at 261.08 points.

Foreign trading was another notable development, with overseas investors recording net buying for a second consecutive session after more than 20 sessions of net selling.

Foreign investors purchased VNĐ340 billion worth of shares on HoSE.   

Bizhub