Recovery of blue chips last week helped lift stocks on the HCM CityStock Exchange, despite anticipated cautious trading prior to the longNew Year holiday.
The benchmark VN-Index gained a cumulative 1.96 per cent to close December 26's session at 533.37 points.
The VN30, which tracks the top 30 shares by market value and liquidity, also increased 2.07 percent to end at 582.45 points.
Additionally,the impact of volatile global oil prices began to decline, as many oiland gas stocks recovered in the final session of the week. Following asteep fall on December 25, large-cap shares, such as PV Gas (GAS) andPetroVietnam Drilling and Wells Service Corp (PVD), climbed 3.7 percentand 0.8 percent, respectively, on December 26. Along with other bluechips, including Vietcombank (VCB), Bao Viet Holdings (BVH), SaigonSecurities Inc (SSI) and VinGroup (VIC), which reassured investors.
However, liquidity dropped substantially as investors became more cautious before the long holiday, which begins on January 1.
Also,trading volume declined 43 percent from the previous week's level,averaging nearly 95 million shares, worth 2.145 trillion VND (100.2million USD) per session in the HCM City's market.
On theother end of the spectrum, the HNX-Index on the Hanoi Stock Exchangelost 0.23 percent during the week, finishing on December 26 at 81.14points.
The market volume here also decreased 26.5 percentcompared with the previous week, averaging 51.3 million shares and wasvalued at 625.2 billion VND (29.2 million USD) per day.
Continuousnet buying by foreign investors was a positive sign last week. Theforeign sector picked up another 540.4 billion VND (25.3 million USD )in shares on the two exchanges, of which they were responsible for a netbuy value of 504.6 billion VND (23.6 million USD) in HCM City.
Thiswas the fourth week in a row that the foreign sector were net buyers inthe market, with a total net buy value of up to 874 billion VND (40.8million USD).
According to many analysts, foreign investorswill tend to extend their purchases towards the end of the year. Thestatistics of BIDV Securities Co (BSC) show that foreign investorsactively buy shares in the last week of the year.
In thefive years from 2009-13, the foreign sector was net buyers in the finaltrading week of the year, except in 2011. Records indicate they bought381.5 billion VND in shares in 2009, 267.4 billion VND in 2010, 793.6billion VND in 2012 and 491.3 billion USD in 2013.
"Webelieve that the portfolio restructuring of foreign investors isfinished and will reduce selling pressure from this sector. Besides, themajor markets in the world have strongly recovered after informationwas released that the US Federal Reserve is considering raising theinterest rate in April next year. It's expected to reduce foreignselling and support market growth," BSC wrote in a report.-VNA
The benchmark VN-Index gained a cumulative 1.96 per cent to close December 26's session at 533.37 points.
The VN30, which tracks the top 30 shares by market value and liquidity, also increased 2.07 percent to end at 582.45 points.
Additionally,the impact of volatile global oil prices began to decline, as many oiland gas stocks recovered in the final session of the week. Following asteep fall on December 25, large-cap shares, such as PV Gas (GAS) andPetroVietnam Drilling and Wells Service Corp (PVD), climbed 3.7 percentand 0.8 percent, respectively, on December 26. Along with other bluechips, including Vietcombank (VCB), Bao Viet Holdings (BVH), SaigonSecurities Inc (SSI) and VinGroup (VIC), which reassured investors.
However, liquidity dropped substantially as investors became more cautious before the long holiday, which begins on January 1.
Also,trading volume declined 43 percent from the previous week's level,averaging nearly 95 million shares, worth 2.145 trillion VND (100.2million USD) per session in the HCM City's market.
On theother end of the spectrum, the HNX-Index on the Hanoi Stock Exchangelost 0.23 percent during the week, finishing on December 26 at 81.14points.
The market volume here also decreased 26.5 percentcompared with the previous week, averaging 51.3 million shares and wasvalued at 625.2 billion VND (29.2 million USD) per day.
Continuousnet buying by foreign investors was a positive sign last week. Theforeign sector picked up another 540.4 billion VND (25.3 million USD )in shares on the two exchanges, of which they were responsible for a netbuy value of 504.6 billion VND (23.6 million USD) in HCM City.
Thiswas the fourth week in a row that the foreign sector were net buyers inthe market, with a total net buy value of up to 874 billion VND (40.8million USD).
According to many analysts, foreign investorswill tend to extend their purchases towards the end of the year. Thestatistics of BIDV Securities Co (BSC) show that foreign investorsactively buy shares in the last week of the year.
In thefive years from 2009-13, the foreign sector was net buyers in the finaltrading week of the year, except in 2011. Records indicate they bought381.5 billion VND in shares in 2009, 267.4 billion VND in 2010, 793.6billion VND in 2012 and 491.3 billion USD in 2013.
"Webelieve that the portfolio restructuring of foreign investors isfinished and will reduce selling pressure from this sector. Besides, themajor markets in the world have strongly recovered after informationwas released that the US Federal Reserve is considering raising theinterest rate in April next year. It's expected to reduce foreignselling and support market growth," BSC wrote in a report.-VNA
