VN-Index rebounds strongly

Investors bought heavily on Friday after selling for the previous two days to take profits, sending the VN-Index up above the 390 mark for the first time this year.

The index of 177 leading companies and four closed-end funds on the Ho Chi Minh Stock Exchange rallied 13.41, 3.56 percent, to close at 390.16.

Trading volume reached 47 million shares worth VND1.4 trillion (US$78.6 million), as 167 companies advanced and five fell.

A deputy head of a HCMC-based brokerage said sharp buying for blue chips came back into favor today.

Da Nang Construction Building Materials & Cement Joint-Stock Company (DXV), a builder and construction material producer, gained for a fourth day, advancing 4.9 percent to VND8,600.

Da Nang Construction expects net income to rise 15 percent this year to VND9.2 billion ($517,000), from VND8 billion last year, it said in a statement on the exchange after the market closed yesterday.

Sales will rise 6.2 percent to VND936 billion, the company said in the statement.

Refrigeration Electrical Engineering Joint-Stock Co. (REE), a maker of air conditioners and electrical appliances, rose 4.9 percent, to VND42,800, the highest since September 26.

The HCMC-based company reported a pretax profit of VND111 billion in the first four months this year, versus a loss a year earlier, it said in statement on the bourse after the market closed yesterday.

620 Chau Thoi Concrete Joint-Stock Co. (BT6), a construction-materials company, ended two days of gains, dropping one percent, to VND51,000.

Vu Huu Dien and Le Bang Son, representing Grinling International Ltd., Wareham Group Ltd., Amersham Industries Ltd., and Vietnam Dragon Fund Ltd. sold their entire holdings of 4 million shares in the company in May, it said in a statement on the exchange’s website.

South Vietnam Container Shipping Joint Stock Co. (VSG) closed higher 4.17 percent at VND10,000.

Nguyen Thi Tien, head of the supervisory board, registered to sell 5,000 shares before June 30 to cut her holdings to 5,567, according to a statement on the exchange’s website.

At the smaller bourse in Hanoi, the HaSTC-Index also staged a rally soon after the opening bell and finally closed higher 4.55 percent at 136.16.

Reported by Moc Lan

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