Sep 7: Vietnam stocks soar, vn index posts longest gaining streak in 2 years

Vietnamese stocks surged today as investors paid a premium on hopes of interest rate cut and on the news of short-sell ban.

The benchmark VN Index rose 7.83 points, or 1.79%, to end at 443.99, the highest since June 23, 2011. Volume increased by 6.7% to 44.3 million shares worth VND704.4 billion including 2.4 million shares worth VND62.2 billion changed hands in the put-through deals.

This was the 9th gaining sessions for VN Index, the longest and strongest advancing streak since 22/09/2009. From August 25, the benchmark has gained 47.31 points or 11.93%, trimming the year-to-date loss to 40.67 points or 8.4%.

This year, the market also saw another long gaining streak of 8 days from Jan 12 to Jan 21 with a gain of 42.06 points or 8.8%. The last time VN Index saw 9 straight gaining sessions was from Sept 10 -22, 2009 when VN Index gained 36.64 points or 6.76%.

Investors had time to digest the good news of short-selling ban and today strong performance was partly a response.

In other news, local banks started to cut deposit rates to under 14% cap from yesterday, a very welcome move as it is a condition for the lending rates to ease from now to year-end. Lower deposit rates will also mean that money flows will seek for a better alternative such as stock market.

The return of foreign players as net buyers was also supportive factor.

VN Index opened in the red with nearly 3.4 million shares traded but. The trading was good, though market pared some early gain, especially when investors took profit from heavy weigh MSN, but VN Index stayed well above the ground and close near the high of the day.

The market breath today was negative, among 300 shares listed firms on HOSE, gainers outweighed losers by 184 -59 and 48 stocks unchanged. As many as 70 stocks fell to the floor while 17 issues hit the ceiling, 5% each side.

Among10 market caps, 7 gained and 3 unchanged.

Developer Licogi 16 JSC. (LCG) was the most active stock with 4.4 million shares traded, closing up 4.3% to VND14,500

Saigon Securities Inc. (SSI) was in the second place with 2.7 million shares traded, closing up 5% to VND21,100.

ITACO or Tan Tao Investment – Industry Corporation (ITA) ranked third with 2.2 million shares traded, up 4.8% to VND10,900.

Hoang Quan Consulting – Trading – Service Real Estate Corporation (HQC) followed in the list with 1.6 million shares traded, closing up 4.8% to VND13,100.

Ocean Group JSC. (OGC) was in the last in the top 5 active list with 1.5 million shares traded, closing up 5% to VND14,700.

On the Hanoi Stock Exchange, the HNX roared 2.98 points or 4.04% to close at 76.75. Trading volume rose 25.6% to 64 million shares traded for VND697.6 billion of which 5.6 million shares worth VND56.8 billion were changed hands in put-through deals.

Market breadth was broadly positive with 240 gainers, 57 losers and 35 flat issues and 54 untraded. Among top 10 market cap stocks, 8 advanced, 1 fell and 1 unchanged.

Kim Long Securities JSC (KLS) was the most active stock with nearly 7.3 million shares traded, closing n up 5.7% to VND12,900 on average.

PetroVietnam Construction Joint Stock Corporation (PVX) was in the second place with 6.4 million shares traded, rising 5.7% to VND13,000 on average.

VNDIRECT Securities Corporation (VND) ranked third in the list with 4.6 million shares traded, advancing 5.7% to VND13,000 on average. – Stoxplus.com

Tags: vietnam stock, Vietnam stock market, VNindex