Stock market continues to surge

The Ho Chi Minh Stock Exchange remained positive on Monday thanks to upbeat sentiment, boosted by recent consecutive rises and a strong belief in an economic recovery.

The VN-Index of the HCMC exchange rose 17.17 points, 4.24 percent, to close at 421.75.

Trading volume reached 42 million shares worth VND 1.2 trillion (US$67.4 million), as all but a mere eight stocks advanced.

A director of a HCMC-based brokerage expects the VN-Index will make some corrections this week, with the resistance level being 440 points.

Foreign investors continued to dump shares to book profits, a net sale of VND157 billion worth of shares.

Thu Duc Trading & Import Export Joint-Stock Co. (TMC), a trader of gasoline, oil and diesel, advanced 1.7 percent to VND29,500.

The Ho Chi Minh City-based company said its January-to-April net income totaled VND5.7 billion ($320,500), meeting 42 percent of this year’s target, according to a statement to the exchange after the market closed on May 22.

Sales were VND350.3 billion, accounting for 32 percent of the full-year estimate, said the statement. Thu Duc Trading said it has seen signs of recovery as sales increase. It did not give any comparative figures for the same period in 2008.

Hang Xanh Motors Service Joint-Stock Co. (HAX) rose 4.71 percent to close at VND31,100. Pham Tuan Mai, a director of the board, registered to cut his holdings from 5.25 percent to 4.09 percent by selling 50,000 shares, according to a statement on the exchange’s website.

Transforwarding Warehousing Joint-Stock Corp. (TMS) closed higher 4.9 percent at VND32,100. The maritime firm announced that Vina Investment Management bought 8,670 shares to boost its stake from 5.67 percent to 5.79 percent last week.

Dry Cell and Storage Battery Joint-Stock Co. (PAC) increased 2.08 percent to VND49,000. The battery producer said on the bourse’s website that it will pay eight percent dividends and will go ex-dividend on June 1.

At the smaller market in Hanoi, the HaSTC-Index closed 148.63, also showing a sharp rise of 5.14 percent.

Reported by Phuc Huy

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