Foreigners heavy buying boosts HCMC market

The Ho Chi Minh Stock Exchange roared back on Tuesday after three previous days of falling, with domestic investors upbeat after a buying spree by foreigners and Asian markets' extended rally.

The benchmark VN-Index closed at 270.62 points, up 10.46 points, 4.02 percent.

Turnover increased to 23 million shares worth VND524.5 billion ($30 million). Among the index’s 180 stocks, 164 gained and a mere five lost.

Saigon Thuong Tin Joint-Stock Commercial Bank (STB), or Sacombank, was the most active stock by volume, with 3.7 million shares changing hands. The HCMC-based bank, partly owned by ANZ, rose 4.88 percent to close at VND17,200.

Foreign investors were in a buying frenzy, pumping in a positive net amount of VND64.3 billion into shares. Among their top picks were PetroVietnam Fertilizer and Chemical (DPM), Hoa Phat Group (HPG), property developer Vincom (VIC) and Vinh Son-Song Hinh Hydropower (VSH).

Asia stocks rose to their best level in two months on Tuesday, with higher-yielding currencies jumping against the yen as Washington's plan to relieve banks of toxic debt spurred investors to pick up riskier assets, according to Reuters.

The gains in major Asian equity markets followed a seven percent surge in the U.S. S&P 500 after a surprise rise in home sales, spurring hopes that a recovery is taking hold in the battered housing market at the heart of the global credit crisis.

Japan's Nikkei share average N225 was up 1.5 percent and struck a two-month high.
The MSCI index of Asia-Pacific shares outside Japan climbed 1.4 percent, taking gains to 28 percent from the five-year low hit last November.

Ba Ria – Vung Tau House Development Joint-Stock Company (HDC) moved up 4.76 percent to VND22,000. The property developer said on the exchange’s website that chairman Doan Huu Thuan bought 76,550 shares to raise his stake from 5.42 percent to 6.23 percent.

Viet Nam Petroleum Transport Joint-Stock Company (VIP) advanced 4.76 percent to VND8,800. Le Thi Huan, wife of chairman and general director Nguyen Dao Thinh, registered to buy a 0.058 percent stake, equal to 10,000 shares, before June 24, the bourse said on its website today.

The Hanoi Securities Trading Center also bounced back today, with the HaSTC-Index closing higher 5.56 points, or 5.97 percent, to finish at 98.7.

Reported by Thieu Gia

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