An investor watches stocks move on her laptop (Photo: vietstock.vn)

Hanoi (VNA) - Shares picked up in both local markets on May 17 as investor confidence turned positive after a meeting between Prime Minister Nguyen Xuan Phuc and local businesses.

The benchmark VN Index gained 0.30 percent to close at 727.20 points, rebounding from a two-day loss of 0.04 percent.

The HNX Index on the Hanoi Stock Exchange closed up 0.69 percent  at 91.91 points, extending its gain for a fourth day with a total growth of 2.2 percent.

Market trading liquidity reduced from May 16. More than 269.2 million shares were exchanged on both local bourses, worth 5.37 trillion VND (238.7 million USD).

Large-cap stocks performed well, with nearly two-thirds of the 30 largest companies by market capitalisation advancing.

Among gainers, dairy producer Vinamilk (VNM) rose 2.4 percent, HCM City Infrastructure Investment (CII) and DHG Pharmaceutical (DHG) jumped 3.3 percent and 3.8 percent, respectively.

Other gaining stocks among the 30 largest listed firms gained between 0.2 percent and 1.7 percent.

Insurance-finance and banking industries performance lifted the stock market, driven by the growth of Sai Gon-Hanoi Bank (SHB), Asia Commercial Bank (ACB), Sacombank (STB), Sai Gon Securities (SSI) and Bao Viet Holdings (BVH).

BVH edged up 0.7 percent, Sai Gon Securities (SSI) increased by 1.7 percent, Sacombank (STB) was 1.2 percent and ACB added 2.1 percent.

However, property stocks suffered from profit-taking, while energy shares were pulled down by lower oil prices during the Asia trading day.

Recent strong gains in property stocks put them in the position that triggered profit-taking among investors.

Real estate firms that fell on profit-taking included Hoang Quan Consulting-Trading-Service Real Estate (HQC), Tan Tao Investment and Industry (ITA), FLC Group (FLC) and Vingroup (VIC).

Sai Gon-Hanoi Securities (SHS) said in its report that the market was boosted by positive investor confidence after the Prime Minister had a meeting with local businesses, which brought positive news for Vietnam’s business community.

Good market sentiment drove the VN Index, when it fell to the support range of 723-725 points yesterday morning, proving that demand of investors for low-priced stocks remained positive, the brokerage said, adding that the VN Index is expected to rise further today and target the old peak of 732 points.-VNA