|Investors at the VNDirect Securities Corporation's stock trading floor. Both local indices yesterday bounced back from Thursday's fall on expectations that oil prices will extend gains. — VNS Photo Viet Thanh
HA NOI (VNS)— Vietnamese shares rebounded yesterday as energy stocks recovered on higher oil prices.
The benchmark VN Index on the HCM Stock Exchange gained 1.1 per cent to close at 545.25 points and the HNX Index on the Ha Noi Stock Exchange rose 0.9 per cent to end at 76.87 points.
The energy sector index jumped 4.1 per cent after global crude prices rebounded on expectations that Russia will work with the Organisation of Petroleum Exporting Countries (OPEC) to reduce oversupply in international oil markets.
benchmark crude West Texas Intermediate (WTI) inched up 0.1 per cent to close at VND739,148 a barrel. It has risen 9.6 per cent in the last four sessions and a fourth from its twelve-year low of VND590,207 a barrel touched on January 20.
Among local energy stocks, PetroVietnam Gas Corporation (GAS) surged 6.8 per cent, PetroVietnam Drilling and Well Services Corporation (PVD) jumped 7 per cent, and PetroVietnam Mud Drilling Corporation (PVC) advanced 9.3 per cent.
Other energy stocks also made large gains, including PetroVietnam Coating JSC (PVB) and PetroVietnam Technical Services Corporation (PVS), which jumped 8.3 per cent and 7.7 per cent, respectively.
Meanwhile, Viet Nam's stocks were also boosted by a rise in Asian stocks after Japan's central bank announced yesterday a negative interest rate of 0.1 per cent for excess reserves parked with the institution.
Banks and insurance companies helped lift the market. Among nine listed banks, the biggest ones made gains including Vietcombank (VCB), which rose 2.2 per cent, and the Bank for Investment and Development of Viet Nam (BIDV), which gained 1.8 per cent.
The insurance sector index was up 2 per cent, led by insurer Bao Viet Holdings (BVH), which added 2.8 per cent, and Bao Minh Insurance Corporation (BMI), which was up 2.1 per cent.
Yesterday, Viet Nam's central bank cut its reference mid-point rate for its exchange trading band by another VND5 to VND21,881 for a US dollar. The mid-point rate has decreased by VND29 over last week.
Both local markets traded more than 165 million shares worth nearly VND2.4 trillion (VND2,356,380 million), a slight increase from Thursday's trading value but still lower than last year's daily trading value. — VNS