09:23 | 21/07/2015 Economy
Stocks climbed further yesterday afternoon as blue chips, particularly banks and insurers, continued to prop up the market.
Investors watch market developments at ACB Securities. — VNS Photo Viet Thanh
On the HCM Stock Exchange, the VN-Index added another 1.08 per cent to close the session at 634.06 points. The VN30, which tracks the top 30 shares by market value and liquidity, also rose 0.55 per cent to end at 652.28 points.
Three insurers hit the ceiling yesterday, including Bao Viet Holdings (BVH), Bank for Investment and Development of Viet Nam Insurance (BIC), and Bao Minh Insurance (BMI). BVH was a member of the VN30, mostly accounting for the VN-Index and VN30's increases.
Banks were also a driving force as large-cap shares like Military Bank (MBB), Vietcombank (VCB), Vietinbank (CTG) and Eximbank (EIB) rose between 1 and 6.4 per cent. EIB was also the leading stock in terms of market volume with more than 11 million shares traded, closing near the ceiling price of VND14,900 (US$0.68) a share.
Overall market conditions were neutral, however, with 103 stocks advancing, 104 declining and 97 ending flat.
Liquidity remained positive with nearly 140.5 million shares worth VND2.56 trillion ($117.4 million) being exchanged by the end of the session.
On the Ha Noi Stock Exchange, the HNX-Index also edged up 0.38 per cent to finish the session at 88.58 points.
The advancers narrowly outnumbered the decliners by 87 to 82, while the other 186 were flat.
More than 52 million shares worth VND625.3 billion ($28.7 million) changed hands. Sai Gon Thuong Tin Real Estate Co (SCR) was the most active with trades of more than six million shares. SCR gained 1.12 per cent in value to settle at VND9,000 a share.
According to analysts at Maritime Bank Securities Co, the uptrend could be maintained in the next sessions with rising liquidity, but the market is still exposed to the risk of correction around the resistance 630-640 benchmarks.
They predict the market could trade sideways this week and money will likely flow in shares with good fundamentals in the banking, oil and gas, infrastructure and textile sectors.
Foreign sectors remained net buyers in the two markets, but their net buy values were modest at a combined VND97 billion ($4.4 million) worth of shares.
The market's increase was also based on the rise of other blue chips such as PetroVietnam Drilling Corporation (PVD) and Vietnam Dairy Products Joint Stock Company (VNM).
PVD gained VND3,000 per share to close yesterday's session at VND58,500 per share. About 1.66 million shares were traded on the market.
The shares also received the strongest purchasing value from foreign investors with VND72.65 billion ($3.36 million).
VNM added VND2,000 or 1.74 per cent to stand at VND117,000 by the end of yesterday's session. VNM grew due to its positive business results in the first quarter of the year.
In the first three months, VNM recorded VND8.71 trillion ($403.5 million) in revenue and VND1.56 trillion ($72.2 million) in after-tax profits - equal to 23 per cent of this year's plan.
With such high business results, VNM planned to pay a 40-per-cent pidend in advance for this year, equal to VND4 trillion ($185 million), and issue 200 million bonus shares for shareholders./.