Market gains on Q4 expectations

Created 05 January 2018
  • PDF
Editor Choice
Share
(0 votes, average 0 out of 5)
Shares extended gains on the two national stock exchanges as rising capital inflow was poured into the banking and energy sectors on high Q4 earnings expectations and positive development on the global oil market.

Market gains on Q4 expectations, vietnam economy, business news, vn news, vietnamnet bridge, english news, Vietnam news, news Vietnam, vietnamnet news, vn news, Vietnam net news, Vietnam latest news, Vietnam breaking news

Market gains on Q4 expectations, vietnam economy, business news, vn news, vietnamnet bridge, english news, Vietnam news, news Vietnam, vietnamnet news, vn news, Vietnam net news, Vietnam latest news, Vietnam breaking news

Shares extended gains on the two national stock exchanges as rising capital inflow was poured into the banking and energy sectors on high Q4 earnings expectations and positive development on the global oil market

On the HCM Stock Exchange, the VN-Index added 1.4 percent to close on December 4 at 1,019.75 points. This was the third straight gaining session this year with total growth of 3.6 percent.

Large-cap stocks remained the market engine. Twenty four of the top 30 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 3.6 percent in value to 44,900 VND (1.97 USD) a share. It has increased nearly 13 percent in the last six trades.

The Big Three (three largest banks by market value) – Vietcombank (VCB), Vietinbank (CTG) and BIDV (BID) – rose 0.9 percent, 3.6 percent and 2.8 percent, respectively.

The latest data of the National Financial Supervisory Commission revealed that bad debts in the whole financial system decreased substantially in 2017, down from 11.9 percent in early 2017 to 9.5 percent 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 2.5-4.7 percent each.

Ending the January 3 trade, the US light crude oil (West Texas Intermediate) increased 2.1 percent to 61.63 USD per barrel for February contracts while Brent crude edged up 1.9 percent to 67.84 USD per barrel.

Overall market condition was positive with 198 stocks rising, 103 falling and 48 closing flat. Nearly 153 million shares worth 6.2 trillion VND (272 million USD) were traded in HCM City’s market.

According to Quang Vo, an analyst at Viet Dragon Securities Co, total trading value continuing to be more than 5 trillion VND in the last three sessions without impact from any special events signalled high investor expectation for another fruitful year for the stock market.

Meanwhile, analysts at Bao Viet 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 Q4 earnings prospects.

“However, profit-taking selling pressure will also rise following the rally which will lead to wide divergence in the market,” Tran Duc Anh, a BVSC’s analyst, wrote in a report on January 4.

On the Hanoi Stock Exchange, HNX-Index edged up 0.26 percent to end at 119.50 points, lifting the three-day gains to over 2.2 percent. -

 

Source: VNA - Bridge

loading...

Popular News Categories:

- Asia & Asean  |  EU & Russia  |  America

- Facts  |  Urban  |  Faculty  |  Environment

- Business  |  Finance  |  Market Health

- Destination  |  Cuisine  |  Arts Music

- Cinema  |  Soccer  |  Sports  |  IT & Internet