Stocks rebounded on Oct. 6 with over 60 percent of codes posting gainson both national stock exchanges, as many investors moved to grabundervalued shares following a long losing streak.
The State Bank of Vietnam's message to commercial banks and other creditinstitutions on Oct. 6, ordering them to cut lending interest rates to17-19 percent per year, also helped stir up a dormant stock market.
The central bank also said it will apply stronger measures to stabilisethe gold market and continue to sell dollars to banks to ease pressureson the foreign exchange rate. It gave assurances that commercial bankswill continue to be able to access open market operations to helpincrease liquidity.
On the HCM Stock Exchange, theVN-Index rose 1 percent to close the session at 421.32 points. The valueof trades climbed by about 11 percent over the previous day's sessionto over 663 billion VND (32 million USD) on a volume of more than 39million shares.
Advancers outnumbered decliners by five times.
Blue chips recovered after several sluggish sessions. Both real estatedeveloper Vincom (VIC) and dairy giant Vinamilk (VNM) rose by 1.6percent, while insurer Bao Viet Holdings (BVH), and real estatedeveloper Hoang Anh Gia Lai (HAG), Vietinbank (CTG) all saw gains ofless than 1 percent.
Of the 10 leading shares by capitalisation, only software giant FPT declined, closing off by about a percent.
Becamex Infrastructure Development Co (IJC), with 1.6 million sharestraded, became the most-active stock, hitting its ceiling price of11,200 VND per share.
On the Hanoi Stock Exchange on Oct.6, the HNX-Index increased by 2.5 percent, closing at 72.10. Valueimproved slightly to 368.8 billion VND (17.7 million USD), with over 36million shares traded. Gainers overwhelmed losers by 218-51.
VNDSecurities was again the most-active share nationwide, with nearly3.8 million changing hands. It closed at its ceiling price of 11,900VND.
Foreign investors, meanwhile, remained net sellers onboth bourses on Oct. 6, but by a narrow net margin of just 92 billionVND (4.4 million USD)./.