Earnings help rejuvenate markets
HA NOI (VNS)— Shares closed in positive territory yesterday on both of the nation's stock exchanges, with the VN-Index rose by 1.36 per cent over the prior session to close at 393.45 points.
|Investors at ACB Securities closed in the green during yesterday's session. — VNA/VNS Photo Tran Viet
The value of trades on the HCM City Stock Exchange rose slightly over the previous day to VND496.8 billion (US$23.6 million) on a volume of 35.6 million shares.
The VN30 Index, which tracks the performance of the 30 leading shares on the southern bourse, finished the day at 460.26 points, a gain of 1.56 per cent.
Among these blue-chip shares, only Sacombank (STB) declined, shedding 0.5 per cent. Real estate developers Hoang Anh Gia Lai (HAG), Dic Corp (DIG), Becamex Infrastructure (IJC) and Tu Liem Urban Development all rose to their ceiling prices, as did PetroVietnam Finance (PVF), commercial baker Kinh Do (KDC), financial conglomerate Ocean Group (OGC) and Saigon Securities Inc (SSI).
On the Ha Noi Stock Exchange, the HNX-Index also rose yesterday by 1.6 per cent to close at 55.21 points. The value of trades leaped by 62.6 per cent over last Friday's level to VND238.8 billion ($11.3 million), as 33.5 million shares changed hands.
The HNX30 Index increase by an even more impressive 2.6 per cent to 103.36 points.
Last week, several businesses announced positive earnings, including real estate developers HCM City Infrastructure Investment (CII), FLC (FLC) and DIG.
"It led to some recovering sessions last week and hints at a short-term rally for some specific stocks," PetroVietnam Securities Co analyst Dao Hong Duong wrote in a note.
He predicted the technical rally would extend for one or two more sessions this week but said the HNX-Index would face many challenges exceeding 57 points. "Blue-chips on both bourses hold the risk of plummeting as the rally ends," he said.
Beginning this month, enterprises will announce their third-quarter earings, providing a guide for the market. Typically, those that announce earliest have positive results, Duong said.
"Investors can take the advantage of some rising sessions to sell declining stocks and buy good shares in some decreasing sessions, including CII, DIG, KDC, PetroVietnam Low Pressure Gas (PGD), PetroVietnam Southern Gas (PGS), Petroleum Equipment Assembly And Metal Structure (PXS) and An Phat Plastic and Green Environment (AAA)," he said. — VNS