Stocks rebound on both bourses

01-Jun-2012 Intellasia | VIR | 7:01 AM Print This Post

Stocks rallied yesterday on both of the nation’s stock exchanges, with the VN Index adding 0.9 per cent to the previous day’s close in HCM City and the HNX-Index finishing the day up 0.4 per cent in Hanoi.

On the HCM City Stock Exchange, the VN30, tracking the city’s 30 leading stocks in terms of market capitalisation and liquidity, also edged up 0.5 per cent to 513.38 points. However, the rally in blue chip shares slowed towards afternoon trading. Insurer Bao Viet Holdings (BVH), after hitting its ceiling price earlier in the day, retreated before closing up on the day by about 2.5 per cent.

Telecommunications equipment provider Sacom (SAM) became the most-active share nationwide with around 3.9 million changing hands.

The value of trades in HCM City reached VND787.3 billion (US$37.4 million) overall, up 9 per cent, on a volume of 49 million shares.

“Lower volumes are now a major concern for the fragile market,” said Kim Eng Securities Co analysts, who advised investors to maintain a strategy of keeping low ratios of stocks in investment portfolios.

Vietnam Investment Securities Co analysts predicted that economic stability and expectations of futher interest rate reductions would prevent the stock market from plunging.

On the Hanoi Stock Exchange yesterday, the HNX-Index closed at 75.62 points. The value of trades increased slightly over Tuesday’s session to VND345.8 billion ($16.4 million) on a volume of 32.4 million shares.

After nearly three months of extended trading hours, the market has became more vibrant and market liquidity has improved significantly, said the head of the Sate Securities Commission’s market development division, Nguyen Son, noting that the pilot period would end this week.

The commission would make an overall evaluation of the pilot period for submission to the Ministry of Finance, which would make a final decision on whether to officially apply the longer trading period.

On the government bond market, bonds in four terms worth a combined value of VND3.75 trillion ($178.5 million) were sold, accounting for 37.5 per cent of the total tender. The yield for two-year bonds was only 8.9 per cent.

 


Category: Stocks

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