The benchmark VN-Index hit a new 10-year peak yesterday after big money flowed into large-cap stocks on rising investor confidence in the market outlook.– Photo vneconomy.vn

HÀ NỘI – The benchmark VN-Index hit a new 10-year peak yesterday after big money flowed into large-cap stocks on rising investor confidence in the market outlook.

On the HCM Stock Exchange, the VN-Index increased 1.24 per cent to close at 840.37 points, the highest level since February 12, 2008.

The market was no longer a ‘single-stock game’ involving FLC Faros Construction Corp (ROS) as happened regularly throughout the week, but most heavyweight stocks jumped yesterday and lifted the VN-Index.

Twenty of the top 30 largest shares in terms of market value and liquidity on the southern bourse gained value and only seven declined.

The market driver ROS extended gains with further growth of 6.9 per cent, slightly lower than the cap of 7 per cent allowed for a single trading day. Market capitalisation of ROS exceeded US$4 billion yesterday after its one month rally.

ROS shares have risen consecutively since September 27, expanding 85.4 per cent in the past month to trade at VNĐ196,000 ($8.63) a share.

Besides ROS, many large caps rallied substantially yesterday, including Vietcombank (VCB), up 3.5 per cent; real estate giant VinGroup (VIC), up 3.1 per cent; Vietjet Air (VJC), up 3 per cent; Military Bank (MBB), up 2.2 per cent; BIDV (BID), up 2.4 per cent; Masan Group (MSN), up 2.3 per cent; and PV Gas (GAS), up 1 per cent.

“Few investors thought the VN-Index could break the resistance level of 840 points,” stock analysts at BIDV Securities Co wrote in a report yesterday.

However, according to these analysts, yesterday’s rally was sudden and not really reliable when the trading volume and value was low and the cash flow was scattered and focused on some large caps.

“Like the previous big rally, it is likely that the market will face correction when the price of stocks was pushed up quite high,” they said.

A few companies continued to trend downwards yesterday, such as insurer Bảo Việt Holdings (BVH), brewer Sabeco (SAB), steelmaker Hoa Sen Group (HSG), Hậu Giang Pharmaceutical (DHG) and Bình Minh Plastics (BMP).

Overall market condition was positive with 154 stocks rising, 125 falling and 65 closing flat.

On the Hà Nội Stock Exchange, the HNX-Index edged up just 0.13 per cent to end at 106.45 points on the lack of blue chips’ support.

Liquidity decreased slightly from the previous session with a total of 181.4 million shares worth a combined VNĐ3.85 trillion ($169.7 million) traded on the two markets, down over 3 per cent in both trading volume and value compared to Thursday’s levels

Foreign trade was also positive yesterday with total net buy value of VNĐ107.5 billion on the two exchanges. – VNS