Shares advance on investor optimism

Illustrative photo (Source: Internet)

Hanoi (VNA) - Shares rose for a second day on October 19 on the two exchanges as investors were optimistic about the market outlook and earnings prospects of listed companies. 

The benchmark VN-Index on the HCM Stock Exchange was up over 1 percent to close yesterday’s trade at 688.9 points. It rose 0.2 percent on Tuesday. 

On the Hanoi Stock Exchange, the HNX-Index added 0.6 percent to end at 85.5 points. 

Blue chips continued their market momentum, with 19 of the biggest 30 shares by market capitalisation gaining value. 

Financial and bank stocks were the biggest gainers as the highest valued stocks like Vietcombank (VCB), BIDV (BID), Vietinbank (VCB), Sacombank (STB), Asia Commercial Bank (ACB), Sai Gon-Hanoi Bank (SHB), HCM Securities Co (HCM), Saigon Securities Inc (SSI) and insurer Bao Viet Holdings (BVH) all increased. 

Sai Gon-Hanoi Bank hit the daily limit rise of 10 percent on the Hanoi Stock Exchange after the news that sister of the bank’s chairman registered to buy 20 million SHB shares. 

Lender BIDV increased 4.1 percent yesterday on investor expectation in the bank’s extraordinary shareholders’ meeting this Sunday. Others rose between 0.7 percent and 2.1 percent each. 

“Return of money inflows in large-cap stocks not only helped lift the VN-Index but consolidated investor confidence in a longer market rise,” analysts at Vietnam Investment Securities Co wrote in a report. 

However, the market needed more solid momentum from strong rises in both volume and value to speed up the market uptrend, they said. 

Besides blue chips, many low-valued stocks also attracted investor attention such as real estate developer FLC Group (FLC), Quang Nam Rubber Investment JSC (VHG), Hoang Huy Investment Services JSC (HHS), PetroVietnam Construction JSC (PVX) and Sai Gon Thuong Tin Real Estate JSC (SCR). 

They were all among the top 5 most active codes on the two markets. 

Liquidity increased with 199.4 million shares worth more than 3.6 trillion VND (161.4 million USD) traded in the two exchanges, up 8.4 percent in volume and 20 percent in value compared to the previous session’s levels. 

Foreign investors returned to be net buyers in the two markets yesterday after two net selling sessions. They purchased shares worth a combined net value of 45.6 billion VND.-VNA