|On the HCM City Stock Exchange, the VN-Index rose 2.8 per cent during the week, closing Friday at 574.48 points. — Photo vinacorp
HA NOI (VNS) — Stocks cheered a full week of gains on both exchanges last week as large-cap shares advanced.
On the HCM City Stock Exchange, the VN-Index rose 2.8 per cent during the week, closing Friday at 574.48 points.
Blue chips displayed momentum as several shares among the top 30 stocks by market value and liquidity rallied, lifting the Index. The VN30 also rose 1.52 per cent to stand at 617.73 points.
Leading shares included PV Gas (GAS), Masan Group (MSN), Vietcombank (VCB), Hoa Phat Group (HPG), BIDV Bank (BID) and Bao Viet Holdings (BVH).
Liquidity improved over the past week, as daily trading volume increased 34.2 per cent during the period, reaching over 89 million shares and worth nearly VND1.33 trillion (US$63 million) per session.
However, gains of blue chips were modest while many others tread water, as the market uptrend is seen as being fragile.
"In this context, the market trend will likely be volatile as investors have yet to believe in a sustainable development. The accumulated value could be extended to this week," Nguyen Van Quy, analyst of FPT Securities Co, wrote in a note.
On the Ha Noi Stock Exchange, the HNX-Index added 1.1 per cent during the week, ending at 76.68 points.
Trading also climbed here, with the market volume rising 24.4 per cent over the previous week, averaging 54.6 million shares worth VND534 billion ($25.3 million) per day.
PetroVietnam Construction Corp (PVX) drew the most attention on the northern bourse last week, with whopping trades in each session. However, it was also the largest loser, with a cumulative loss of 20.7 per cent. The shares were heavily sold out on the possibility that it would be forced to de-list after three-year of losses.
Local investors started to pursue short-term trading strategies to avert risks, which drove down liquidity in the last two sessions.
According to analysts, cautious investors are concerned with declining liquidity signs and the market is poised for the risk of a deeper correction as the current prices of many stocks remain high, following some gains.
However, in an optimistic perspective, the market is accumulating value while investors need time to accept the current price level and await opportunities when new support information becomes available.
"The VN-Index is near the resistant level of 580 points this week, but we still keep an optimistic view that money will continue to flow in the market this week with a focus on real estate shares, thanks to positive information surrounding this sector," analysts from SHB Securities Co wrote in a research note.
In addition, shares of companies posting positive business results in the second quarter would likely benefit from speculative money, as well, they said.
Meanwhile, foreign investors continued to buy shares on both exchanges. They were responsible for a combined net buy value of more than VND256 billion ($12.1 million) worth of shares on the two markets. They put more money on Ha Noi's exchange, with a net buy value here reaching nearly VND147 billion ($7 million) while the value on the HCM City was just VND110 billion ($5.2 million). — VNS