Illustrative image (Source: VNA)
Hanoi (VNA) - Shares rebounded on January 20 on the two national stock exchanges as investors started their bets on year-end earnings of companies.

On the HCM Stock Exchange, the VN-Index added 0.6 percent to close at 686.3 points. The northern market index dropped 0.34 percent in the last two trades.

On the Hanoi Stock Exchange, the HNX-Index regained 0.4 percent to end at 83.2 points, narrowing the loss of 1.3 percent in the two previous sessions.

Overall, the market condition improved as 223 stocks rose, 190 declined and 281 remained flat.

Fifteen of total 20 sectors tracked by Vietstock Finance gained value and only five tumbled. Of which, the construction sector and construction material manufacturing sector were the biggest gainers with average gains of 1.44 percent and 1.28 percent.

Leading companies in these sectors on the two exchanges like FLC Group (FLC), Kinh Bac City Development (KBC), CII Bridges & Roads Investment and Vinaconex (VCG) advanced between 0.6 percent and 7 percent each.

These stocks were also among the top most heavily-traded shares on the two markets.

According to stock analysts at Viet Dragon Securities Co (VDS), stocks of companies that promise positive 2016 earnings could be on investors’ radars.

Following Circular 155, all listed companies have to release their financial statements within 20 days of the last day of every quarter.

Some companies started to disclose their preliminary business results for 2016, which if showed impressive performance, could provide driving momentum for the next market upturn, VDS’s analysts wrote in a market report.

However, some other securities firms maintain a neutral view on market outlook as cash will likely continue to be withdrawn from the market to meet shopping needs as the Tet (Lunar New Year) holiday draws near.

Many large-cap stocks led the market’s recovery yesterday, with 22 of the top 30 largest shares by market capitalisation and liquidity on the main bourse in HCM city climbing and only six falling.

Leading gainers included dairy giant Vinamilk (VNM), lenders BIDV (BID) and Vietinbank (CTG), PV Gas (GAS), insurer Bao Viet Holdings (BVH), FPT Corp (FPT), steelmakers Hoa Phat Group (HPG) and Hoa Sen Group (HSG).

Those companies are forecast to report high earnings prospects for 2016.

Trading volume increased slightly over January 19 to reach 112.5 million shares on the two markets but value of trades decreased 4 percent to 2.4 trillion VND (106.2 million USD).

Foreign investors were net buyers on January 20, collecting shares worth 219 billion VND on the two exchanges, soaring 147 percent compared to the previous day’s net buy value.-VNA