Apr 6: VN-Index rebounds on corporate earnings

Shares on the Hochiminh Stock Exchange soared to the high of the day at the close on Wednesday, sending up the market benchmark VN-Index from a one-month low, after construction firm Licogi 16 (LCG) reported to pay dividend at 70% for 2010, boosting confidence in corporate earnings prospects.

The investor optimism, which had evaporated in the past months on tightened credit policy and escalating inflation, was boosted after Bui Duong Hung, President of Licogi 16, revealed the plan to pay dividend of 70% for 2010, the third straight year with payout of 70% upwards.

FPT Corp, the largest software producer in Vietnam, also boasted impressive growth for this year after it reshuffled management.

The VN-Index, the measure of 282 stocks and five closed-end funds, added 7.74 points, or 1.69%, to end at 464.94. The gauge slid 0.6% in a three-day streak to touch the lowest close since March 3.

The market breadth was very positive on the primary bourse where 190 stocks advanced, 42 declined and 56 closed unmoved.

The traded volume rose 17% from a day earlier to 27.35 million shares and fund units valued at 624 billion dong, a little decline from yesterday.

HCM City-based lender Sacombank (STB), the most active on the gauge with 1.7 million shares traded, inched up 0.72% to end at 13,900 dong.

Saigon Securities Inc (SSI), the largest stock broker on HOSE, coming second in liquidity with 1.3 million shares changed hands, soared 4.63% to 22,600 dong.

Second largest-listed bank Vietinbank (CTG) climbed 3.1% to finish at 30,000 dong on a trade of 900,000 shares – the third most active.

At the close, 45 stocks were traded at ceiling prices, which are capped at 5% by market regulators. FPT outstood with a third day closing at the ceiling price, topping 57,000 dong.

IMP was the biggest normal loser, dropping 4.96% to finish at 44,100 dong. – FPTS

Tags: vietnam stock, Vietnam stock market, VNindex