Market rallies for second day
By Phuong Thao - The Saigon Times Daily
HCMC – The local market rose for the second consecutive session on Wednesday as sentiment continued to improve on the Eurozone’s outlook, lifting the VN-Index up 5.37 points, or 1.28%, from the day earlier to close at 426.39.
The market opened flat but it soon embarked on a little run and traded in a narrow three-point range for the rest of the morning session. In the afternoon, it saw a continuation of this trend before a late run pushed the market up to the daily high of 427.17 and dipped slightly below that right at the close.
Trading remained disappointing if the large put-through transaction in STB, which once again accounted for well over 60% of Hochiminh Stock Exchange, was left out. There were 91.5 million shares worth over VND1.7 trillion traded at the end of the day, both falling by around 16% against the session earlier.
Advancers outnumbered decliners by three to one, at 196 to 68, including 63 stocks hitting the ceiling prices and 18 stocks plunging to the floor prices.
SBS and LCG were the most active tickers in terms of volume with 2.1 million shares and two million shares traded respectively. Meanwhile, SSI, HAG and PVF took the lead in terms of value with total trading value of VND81 billion.
The VN30 Index rallied 6.09 points, or 1.22%, to close at 504.11 with VCB, VIC, and BVH together adding 2.5 points to the overall gain.
Foreigners were still net sellers with buying activity dropping to very low levels. They accounted for 1.9% and 4.6% of the market’s buying and selling value respectively.
The Hanoi market edged up again although turnover dipped further to over VND349billion. The HNX-Index rose 0.2 point, or 0.27%, against the previous session and ended the day at 73.78.
There were 149 rising stocks while 75 stocks posted losses, including 28 stocks closing at the ceiling prices and 18 stocks dropping to the floor prices. Foreigners accounted for 0.9% of the buying value and 1.1% of the selling value.
HCMC Securities Co. said the stock market extended its modest rally into a second day with technical support at the 412-point level providing a platform for short-term buyers.
“Our technical team sees resistance coming up a few points higher than this although if we see a breakthrough above 430 points then the next resistance line is not until 453 points or so. Apart from technical views, we see continuing very low volumes if we strip out the large put-through deal and the very modest move in the HNX-Index on Thursday due to a late sell-off as signs of caution. These suggested that this current mini run may not have far to go on the upside,” it said.