The nation's two benchmark indices posted gains last week as banking stocks supported the market against soaring profit-taking pressures during the final trading sessions.
The VN-Index on the Ho Chi Minh City Exchange finished 2.79 percent higher at 586.48 points, while the HNX-Index on the northern bourse posted a larger increase of 3.68 percent to end at 83.12 points.
Also, liquidity eased compared to the previous week – which experienced a record high liquidity on February 20 as investors became more cautious, but still remained at a high level.
The trading value on HCM City Exchange averaged 2.62 trillion VND (124.7 million USD) on an average volume of 152.8 million shares, slightly lower than the week running from February 17 to February 21.
The average figures on the Hanoi Exchange were 848.7 billion VND (40.4 million USD) and nearly 89.5 millions shares, both roughly 15 percent lower.
On the first three trading days, benchmark indices witnessed gains on both bourses, which saw a recovery from losses during trading sessions at the end of the previous week.
Gains came mainly from blue chips, such as PetroVietnam Drilling Corporation (PVD), Masan Group (MSN) technology FPT Group (FPT), real estate giant Vingroup (VIC), Vietcombank (VCB) and property developer Hoang Anh Gia Lai (HAG).
Foreign investors contributed as net buyers during the week, with a net value of 266.4 billion VND (12.6 million USD), which also helped consolidate market confidence.
Foreign investors bought shares of MSN, Hoa Sen Group (HSG), VCB, PetroVietnam Gas Corporation (GAS), VIC, and Bao Viet Group (BVH), while selling shares of HAG, Da Nang Rubber Corporation (DRC), along with PetroVietnam Fertilisers and Chemicals Corporation (DPM).
Selling pressure soared on February 27, causing the benchmark indices to lose, and caution also grew after the record traded shares on February 20 were transferred to investors' accounts under T+3 transactions.
Soon, gains returned on February 28, despite selling pressure and forecast of a further drop, thanks to support from blue chips and banking shares, which attracted significant capital inflow.
According to VietstockFinance, the group of banking shares increased 4.7 percent last week.
Also, shares of Tan Tao Group (ITA) was highlighted last week as a record 25 million shares traded on February 27. ITA shares were sought by investors last week, with the net buying value from foreign investors reaching 16.56 billion VND (7.8 million USD).
Regarding the significant capital inflow into the stock market after the Tet (Lunar New Year) holiday, Tran Huu Phuc from Vietcombank Securities was quoted by Vneconomy as saying that there was a new capital inflow into stocks as the mobilising rate was on a downward trend, which did not attract depositors.
This capital inflow helped the benchmark indices gain and maintain liquidity at high levels, he said.
Ho Huyen from VNDirect Securities said that the stock market absorbed a large amount of capital after Tet, with an average value of 2.9 trillion VND (138 million USD) per day, which also indicated that the potential capital inflow was very large. She was quoted as saying that adjustments were still needed for the benchmark index to gain higher point bands.
Also, FPT Securities forecast the market might face large fluctuations this week.-VNA
The VN-Index on the Ho Chi Minh City Exchange finished 2.79 percent higher at 586.48 points, while the HNX-Index on the northern bourse posted a larger increase of 3.68 percent to end at 83.12 points.
Also, liquidity eased compared to the previous week – which experienced a record high liquidity on February 20 as investors became more cautious, but still remained at a high level.
The trading value on HCM City Exchange averaged 2.62 trillion VND (124.7 million USD) on an average volume of 152.8 million shares, slightly lower than the week running from February 17 to February 21.
The average figures on the Hanoi Exchange were 848.7 billion VND (40.4 million USD) and nearly 89.5 millions shares, both roughly 15 percent lower.
On the first three trading days, benchmark indices witnessed gains on both bourses, which saw a recovery from losses during trading sessions at the end of the previous week.
Gains came mainly from blue chips, such as PetroVietnam Drilling Corporation (PVD), Masan Group (MSN) technology FPT Group (FPT), real estate giant Vingroup (VIC), Vietcombank (VCB) and property developer Hoang Anh Gia Lai (HAG).
Foreign investors contributed as net buyers during the week, with a net value of 266.4 billion VND (12.6 million USD), which also helped consolidate market confidence.
Foreign investors bought shares of MSN, Hoa Sen Group (HSG), VCB, PetroVietnam Gas Corporation (GAS), VIC, and Bao Viet Group (BVH), while selling shares of HAG, Da Nang Rubber Corporation (DRC), along with PetroVietnam Fertilisers and Chemicals Corporation (DPM).
Selling pressure soared on February 27, causing the benchmark indices to lose, and caution also grew after the record traded shares on February 20 were transferred to investors' accounts under T+3 transactions.
Soon, gains returned on February 28, despite selling pressure and forecast of a further drop, thanks to support from blue chips and banking shares, which attracted significant capital inflow.
According to VietstockFinance, the group of banking shares increased 4.7 percent last week.
Also, shares of Tan Tao Group (ITA) was highlighted last week as a record 25 million shares traded on February 27. ITA shares were sought by investors last week, with the net buying value from foreign investors reaching 16.56 billion VND (7.8 million USD).
Regarding the significant capital inflow into the stock market after the Tet (Lunar New Year) holiday, Tran Huu Phuc from Vietcombank Securities was quoted by Vneconomy as saying that there was a new capital inflow into stocks as the mobilising rate was on a downward trend, which did not attract depositors.
This capital inflow helped the benchmark indices gain and maintain liquidity at high levels, he said.
Ho Huyen from VNDirect Securities said that the stock market absorbed a large amount of capital after Tet, with an average value of 2.9 trillion VND (138 million USD) per day, which also indicated that the potential capital inflow was very large. She was quoted as saying that adjustments were still needed for the benchmark index to gain higher point bands.
Also, FPT Securities forecast the market might face large fluctuations this week.-VNA
