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Tuesday, June 2, 2015

Vietnam: Bank Stocks Prop Up VN Index

VIETNAM: Bank Stocks Prop Up VN-Index

Bank stocks led the uptrend as most of this group saw strong development, including Vietcombank (VCB), BIDV (BID), Military Bank (MBB), Eximbank (EIB), as well as Vietinbank (CTG) and Sacombank (STB), with rises between 1 per cent and 5.5 per cent. — Photo cafef

HA NOI (VNS) — Profit-taking pressure increased in yesterday's afternoon session, but growth of large-cap stocks continued to prop up the market.

On the HCM Stock Exchange, the benchmark VN-Index edged up 0.95 per cent to close the session at 574.98 points, while the VN30, which tracks the top 30 shares by market value and liquidity, expanded 0.73 per cent to end 593.61 points.
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Bank stocks led the uptrend as most of this group saw strong development, including Vietcombank (VCB), BIDV (BID), Military Bank (MBB), Eximbank (EIB), as well as Vietinbank (CTG) and Sacombank (STB), with rises between 1 per cent and 5.5 per cent.


With prices soaring 5.5 per cent yesterday to VND45,800 (US$2.11) a share, VCB surpassed PV Gas (GAS) to become the largest stock in market capitalisation on the HCM City's market, with a total market value of VND122 trillion ($5.62 billion).

Other blue chips in the VN30 basket, such as Vinamilk (VNM), VinGroup (VIC), Phu My Fertiliser (DPM) and Saigon Securities Inc (SSI), also contributed to the market rise.

Liquidity declined slightly, however, with both market volume and value down 10 per cent from the previous session, totalling 118.5 million shares worth VND1.763 trillion ($81.2 million).

Property developer FLC Group (FLC) remained the top stock with the highest trades as a whopping 13 million shares were exchanged by the end of the session, but its price tumbled 2.2 per cent to close at VND9,000 a share.
On the Ha Noi Stock Exchange, the HNX-Index also increased 0.79 per cent to finish the day at 83.89 points, but liquidity dropped here as just 44 million shares worth more than VND510 billion ($23.5 million) were traded, down 15 per cent in volume and 10 per cent in value compared with Friday's levels.

KLF Joint Venture Global Investment Co. (KLF) continued as the most active stock, with over 5 million shares exchanged, ending flat at VND7,500 a share.

Yesterday's foreign buys also contributed to the growing confidence of local investors. The foreign sector was responsible for a combined net buy of nearly VND104 billion ($4.8 million) worth of shares in the two markets.

According to Viet Nam Securities Depository Centre, 100 foreign investors, including 18 institutions and 82 individuals, opened securities trading accounts in May, the highest number since the beginning of this year. — VNS

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