Vietnam index approaches 600-point threshold

HO CHI MINH CITY, April 29 (Xinhua) — The Vietnam Stock Index or VN-Index, a capitalization-weighted index of all the companies listed on the Ho Chi Minh City Stock Exchange, approached the 600-point threshold this week as it closed at 598 points on Tuesday and Friday.

Investors’ big confidence, which boosted large-cap stocks in the insurance and property sectors, played a key role in lifting the index. According to Bao Viet Securities Company, such confidence beefed up large-cap stocks, including insurer BIDV Insurance Corp (BIC) and Bao Viet Holdings (BVH) and property firm Vingroup JSC (VIC).

Other financial firms also helped boost the market when foreign investors continued to focus on the stocks, including Vietcombank (VCB), Vietinbank (CTG), Sacombank (STB) and the Bank for Investment and Development of Vietnam (BID).

Another contributing factor included many companies announcements of higher profits in the first quarter of 2016 compared with the same period last year, as well as their positive business plans for this year. Among them are An Phat Plastic and Green Environment JSC (AAA), Kim Long Securities Corp (KLS), and agricultural firms Hoang Anh Gia Lai JSC (HAG) and HAGL Agricultural JSC (HNG).

The VN-Index closed at 598.37 points on Friday, up 6.7 points, or 1.13 percent, from the previous trading day’s close. From the previous week’s closing session, the index won 5.89 points, or 0.99 percent.

During the week, the index experienced two ups and three downs, posting the highest level of 598.48 points on Tuesday, and the lowest level of 591.67 points on Thursday. In comparison, it ranged between 568.28 points and 592.48 points in the previous week.

About 124.902 million shares worth 2.538 trillion Vietnamese dong (VND) (116.21 million U.S. dollars) changed hands on the Ho Chi Minh City Stock Exchange on Friday, an increase of 23.42 percent in volume and 33.73 percent in value as against Thursday.

In the upcoming trading sessions, the index may conquer the threshold of 600 points, predicted Saigon- Hanoi Securities Company.