HCM City stocks closes slightly higher on quiet trading

The capital gains tax, which took effect today, made investors less willing to return to the stock market after a New Year break, with the benchmark VN-Index remaining barely unchanged on the first trading day of the year.

VN-Index, the gauge of 174 firms and closed-end funds, crept up 2.28 points, 0.72 percent, to close at 313.34.

Today’s trading was very quiet, with a mere 5.4 million shares exchanging hands.

According to some HCMC-based brokerages, investors stood on the sidelines due to the introduction of new regulations on personal income and capital gains taxes coming into effect yesterday.

The new law requires investors to pay either 0.1 percent of every sale or 20 percent on the year’s net profit accumulated throughout the year.

Foreign investors today bought more than one million shares worth VND37.3 billion ($2.2 million) while selling 429,040 shares worth VND10 billion ($588,000).

Pha Lai Thermal Power, PetroVietnam Finance Joint Stock Co., seafood firm Nam Viet Corp., dairy company Vinamilk and construction firm Sudico were among the top sellers.

Industrial zone operator Tan Tao dropped marginally VND400, 1.49 percent, to VND26,500 ($1.52). Deputy general director, Nguyen Thi Suong, bought more than 700,000 shares to raise her holding from 690 shares to 749,430, according to a statement on the exchange’s website. The purchase was completed last month.

Furniture maker Savimex rose VND400, 2.8 percent, to close at VND14,700 ($0.84). Deutsche Asset Management Ltd. is no longer the firm’s biggest shareholder by selling 100,000 shares to cut its stake from 5.62 percent to 4.61 percent, the exchange said in a report on its website.

Seafood firm Vinh Hoan Corp. gained VND700, 3.68 percent, to VND19,700 ($1.13). The firm said on the exchange’s website that Lam Mau Diep became one of its biggest shareholders buying 419,000 shares to raise her stake from 4 percent to 5.4 percent.

Hanoi’s HaSTC-Index closed at 104.47 points, a minor drop of 0.62 percent.

Reported by Thieu Gia

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