HA NOI — Stock indices ran up another winning day yesterday, with banking stocks continuing to draw heavy investment despite warnings by many analysts that prices were becoming inflated.
Eight of nine listed banks gained value, with five soaring to their ceiling prices, including Eximbank (EIB), Ha Noi Housing Bank (HBB), Sai Gon-Ha Noi Bank (SHB), Asia Commercial Bank (ACB) and Nam Viet Bank (NVB). Only Sacombank (STB) declined after four consecutive sessions of ceiling prices.
With the sudden market rally in recent weeks, many shares have increased by a cumulative 15-20 per cent in value, a situation which was destined to prompt investors to sell and lock in gains, said the managing director of individual investment for Kim Eng Viet Nam Securities Co, Kim Thien Quang.
"Latecomers can therefore face risks when rushing to buy," Quang said, encouraging investors to buy on the basis of understanding companies. "This is how foreign investors are doing it."
On the HCM City Stock Exchange, the VN-Index rose by over 1 per cent to close at 427.95 points. Large-cap shares such as insurer Bao Viet Holdings (BVH), food processor Masan Group and Eximbank (EIB) all hit their ceiling prices, lifting VN30 Index – which tracks the performance of the 30 leading shares by capitalisation and liquidity – to 491 points, an increase of 1.2 per cent over the previous session.
The value of trades slumped by 33.5 per cent from Wednesday's highs, however, totalling VND1.53 trillion (US$72.9 million) on a volume of just over 89.5 million shares.
On the Ha Noi Stock Exchange, the HNX-Index also rose by over 1.3 per cent to close at 69.58 points. The value of trades reached nearly VND587.4 billion ($28 million), down 15 per cent from Wednesday, while volume declined 24 per cent to 64.3 million shares. — VNS