VN Index rises for fifth straight session

Vietnam’s benchmark VN Index rose slightly on January 12 as recent growth of local stocks triggered investors to sell to make some profit.
VN Index rises for fifth straight session ảnh 1

Investors during a session at Saigon Securities Inc in Hanoi. (Photo: VNA)

Hanoi (VNS/VNA) - Vietnam’s benchmark VN Index rose slightly on January 12 as recent growth of local stocks triggered investors to sell to make some profit.

The benchmark index on the HCM Stock Exchange inched up 0.19 percent to close at 1,050.11 points, making gains in all five trading sessions of the week with a weekly growth of 3.7 percent.

The minor HNX Index on the Hanoi Stock Exchange fell 1.70 percent to end at 120.76 points after increasing 0.75 percent on January 11.

The northern market index has gone through a volatile week, growing 1.5 percent from the previous trading week.

The stock market was dominated by losing stocks, which outnumbered gainers by 275 to 217.

More than 490.5 million shares were traded on the two local exchanges, worth 11.9 trillion VND (531.5 million USD).

Both local exchanges posted a new record high in trading value, which was up 31 percent compared to January 11.

Trading condition among large-cap stocks was poor as 21 of the 30 largest stocks by market capitalisation in the VN30 Index declined, narrowing the growth of the large-cap index to 0.25 percent from 1 percent.

On the sector basis, shares of banks, energy firms, insurance companies, rubber-plastic producers and retailers were the worst-performing industries.

Those industry indices dropped between 1 percent and 2.5 percent, data on showed.

Among those companies, Sai Gon-Hanoi Bank (SHB) and Sacombank (STB) plunged 4.6 percent each. SHB gained total 11.4 percent in the previous four sessions while STB soared 21.7 percent in a six-day period.

On the opposite side, real estate and securities shares were among the best gainers as investor confidence was high in those firms for their earnings prospects.

According to market strategy expert Ngo Quoc Hung at Vietinbank Securities Company, the earnings season is revealing companies that have posted big profits and plan for sustainable development.

“Worthy opportunities are presenting among financial services firms and property developers,” Hung said.

Among real estate firms, Da Nang Housing Investment Development JSC (NDN) has estimated its net profit for the last quarter could reach 25.5 billion VND and the figure for the whole last year could be 80 billion VND.

The full-year net profit outpaced the firm’s target by 220 percent. The company shares on Friday surged 5.6 percent to 11,300 VND per share.

According to Sai Gon-Hanoi Securities Company (SHS), recent market volatility signalled a strong mix among local stocks and sectors as investors attempted to offload parts of their portfolios.

Therefore, the Hanoi-based brokerage firm forecast the market would encounter difficulties to extend its growth next week and the VN Index could move narrowly between 1,040 and 1,060 points.-VNA

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