Blue chips lead modest market revival - Economy

Updated

August, 31 2012 09:12:00

Blue chips lead modest market revival

Investors monitor trading at An Binh Securities Co's transaction floor in Ha Noi. — VNS Photo Truong Vi

HA NOI — Shares rose steadily yesterday on the HCM City Stock Exchange with the VN-Index rising by 1.07 per cent to close at 397.25 points. The value of trades improved slightly over Wednesday, reaching nearly VND602 billion (US$28.7 million) on a volume of 39 million shares.

"Blue chips continued to prop up the market," FPT Securities Co analysts wrote in a note.

The VN30 Index, tracking the leading large-cap shares, closed up by 1.26 per cent to 465.42 points. Shares of property developers Hoang Anh Gia Lai Co (HAG) and VinGroup (VIC) hit their ceiling prices while such influential stocks as Vietinbank (CTG), Sacombank (STB) and steelmaker Hoa Phat Group (HPG) also rose by 1-3.8 per cent.

Eximbank (EIB) was the most-active share yesterday with 2.25 million traded, ending a seven-session losing streak to gain 3.14 per cent yesterday. EIB closed at VND16,400 per share.

Investors had regained their confidence in the market, the FPT Securities analysts wrote, after recent scandals involving possible fraud in the banking industry had sent the market into a steep decline. However, they added "the buy-side continues to be timid because they fear a renewed slump or a lack of major supporting news".

A rise on the Ha Noi Stock Exchange yesterday decelerated towards the end of the session, with the HNX-Index closing up by just 0.06 per cent to 61.92 points. The value of trades was anaemic, at just VND279 billion ($13.3 million).

Advancers edged decliners by just 97-90, with VNDirect Securities Co (VND) the most-active share on a volume of 3.23 million.

In coming sessions, risks of negative information should decline and market movements would possibly be driven again by technical and fundamental factors, said Bao Viet Securities Co analyst Nguyen Xuan Binh.

"The market may face the strong sell pressures, but the indices could continue to recover before challenging resistance levels at 400 points for the VN-Index and 63.5 points for the HNX-Index."

Foreign investors concluded yesterday as net buyers on both exchanges, picking up combined shares worth over VND32 billion ($1.5 million). — VNS

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