Market continues winning march

Both stock indices on the two stock exchanges extend gains for a third day since early  二0 一 八. — Photo ndh.vn

HÀ NỘI — Shares extended gains on the two national stock exchanges as rising capital inflow was poured into the banking and energy sectors on high Q 四 earnings expectations and positive development on the global oil market.

On the HCM Stock Exchange, the VN-Index added  一. 四 per cent to close Thursday at  一,0 一 九. 七 五 points. This was the third straight gaining session this year with total growth of  三. 六 per cent.

Large-cap stocks remained the market engine. Twenty four of the top  三0 largest shares by market value and liquidity on the HCM City’s exchange gained value and only four lost.

Banks led the gainers when six of seven listed banks increased. VPBank (VPB) expanded for six sessions in a row, adding  三. 六 per cent in value to VNĐ 四 四, 九00 (US$ 一. 九 七) a share. It has increased nearly  一 三 per cent in the last six trades.

The Big Three (three largest banks by market value) – Vietcombank (VCB), Vietinbank (CTG) and BIDV (BID) – rose 0. 九 per cent,  三. 六 per cent and  二. 八 per cent, respectively.

The latest data of the National Financial Supervisory Co妹妹ission revealed that bad debts in the whole financial system decreased substantially in  二0 一 七, down from  一 一. 九 per cent in early  二0 一 七 to  九. 五 per cent by year-end, concentrating in small and weak banks.

Apart from banks, oil and gas stocks also attracted heavy investment thanks to rising global oil prices.

Major companies including PV Gas (GAS), PetroVietnam Drilling and Well Services (PVD) and Petrolimex (PLX) rallied between  二. 五- 四. 七 per cent each.

Ending Wednesday’s trade, the US light crude oil (West Texas Intermediate) increased  二. 一 per cent to $ 六 一. 六 三 per barrel for February contracts while Brent crude edged up  一. 九 per cent to $ 六 七. 八 四 per barrel.

Overall market condition was positive with  一 九 八 stocks rising,  一0 三 falling and  四 八 closing flat. Nearly  一 五 三 million shares worth VNĐ 六. 二 trillion ($ 二 七 二 million) were traded in HCM City’s market.

According to Quang Võ, an analyst at Viet Dragon Securities Co, total trading value continuing to be more than VNĐ 五 trillion in the last three sessions without impact from any special events signalled high investor expectation for another fruitful year for the stockmarket.

Meanwhile, analysts at Bảo Việt Securities Co (BVSC) predict the VN-Index will likely advance in the next sessions, driven by strong capital inflow in large caps, especially in those with good Q 四 earnings prospects.

“However, profit-taking selling pressure will also rise following the rally which will lead to wide divergence in the market,” Trần Đức Anh, a BVSC’s analyst, wrote in a report yesterday.

On the Hà Nội Stock Exchange, the HNX-Index also edged up 0. 二 六 per cent to end at  一 一 九. 五0 points, lifting the three-day gains to over  二. 二 per cent. — VNS