VN-Index up 22 points following central bank’s rate cuts

The VN-Index, which represents the Ho Chi Minh Stock Exchange (HoSE), gained 22.06 points, or 2.12%, to 1,062.19 on Wednesday, ending its three-session losing streak.

The strong rise of the benchmark index came after the State Bank of Vietnam announced a 1 percentage point reduction on several policy interest rates to bolster the economy and aid businesses on Tuesday afternoon.

The main bourse saw up to 380 gainers, seven times higher than the losers. Nearly 623 million shares changed hands for over VND10.6 trillion ($449.5 million).

The VN30 index, which tracks the performance of the 30 largest-cap stocks, soared 27.03 points to 1,064.38, with up to 27 tickers falling.

Green overwhelmed almost all groups, with securities topping the list as a series of stocks hitting their ceiling prices, including SSI of Saigon Securities, HCM of Ho Chi Minh City Securities, VCI of Viet Capital Securities, VND of VNDirect Securities, and APS of Asia-Pacific Securities.

Real estate tickers also rallied, with DXG of Dat Xanh Group, DIG of DIG Corp. and KHG of Khai Hoan Group closing in purple. Blue chips like NVL of Novaland, PDR of Phat Dat, and VHM of Vinhomes enjoyed an increase of over 2.5%.

The banking group showed positive performance as no stocks dropped. Among the 10 codes with the most impact on the VN-Index, six belong to this group, namely BID of BIDV, TCB of Techcombank, MBB of MBBank, VPB of VPBank, ACB of Asia Commercial Bank, and VIB of Vietnam International Bank.

Foreign investors continued to be net purchasers for the sixth consecutive session to the tune of over VND200 billion ($8.48 million) on the HoSE. They mainly net bought HPG and HSG of steel makers Hoa Phat and Hoa Sen and POW of PV Power.

The HNX-Index on the Hanoi bourse went up 4.46 points to 207.01, while the UpCOM-Index on the unlisted public company market gained 0.82 points to 76.59.