Hanoi's stocks experience an upward trend as market enthusiasm intensifies
Hanoi Stock Exchange Experiences Buoyant July 2021
The Hanoi Stock Exchange (HNX) experienced a significant surge in trading activity in July 2021, with a notable increase in proprietary trading by member securities firms, reaching over VNĐ443.9 billion, marking a 7.1% increase [1].
Several key factors contributed to this strong performance. The HNX-Index posted solid gains, rising 3.63% to 263.79 points. Trading value reached approximately VND4 trillion, and nearly 200 million shares were traded, indicating high liquidity and strong investor interest [1].
A broadly positive market breadth helped push prices higher, with many stocks advancing, creating an optimistic market sentiment [1]. Strong capital flows and consensus among investors characterized the market rally during that period, making the overall market momentum robust and sustained [1].
The supportive macroeconomic environment also played a role. Trade agreements reducing tariff risks, low interest rates, and sustained growth in foreign direct and public investment bolstered investor confidence [4].
Notable performers included MB Securities (MBS), which recorded 207.8 million shares, equivalent to 6% of the total, and Saigon-Hanoi Securities (SHS), which rose 79.6% to VNĐ23,000. SHS led the market with a trading volume of 956.1 million shares [1].
Other companies that saw significant growth include Alphanam E&C (AME), which rose by 59.6%, and Asia-Pacific Securities (APS), which soared 98.5% to close at VNĐ13,300 per share [1].
The HNX listed 306 companies by the end of July, and the total market capitalisation exceeded VNĐ398.7 trillion, reflecting a 12% increase from June [1]. The average daily transaction value climbed 64.5% to over VNĐ2.77 trillion (US$105.5 million), and trading activity surged, with an average daily volume of 150.4 million shares [1].
Foreign investors had a net buying position of VNĐ547 billion, with trading values rising by 61% [1]. The busiest trading day was on July 31, with 195.5 million shares exchanged [1]. Companies such as I.P.A Investment Group (IPA) also saw a 58% increase [1].
In summary, the key drivers were solid market breadth, improved liquidity with heavy trading volume, strong capital inflows, and favorable macroeconomic and trade conditions promoting investor confidence. The strong performance and increase in trading activity at the Hanoi Stock Exchange in July 2021 underscore the positive outlook for the Vietnamese stock market in 2021–2022.
[1] Source: Hanoi Stock Exchange official data [4] Source: Vietnamese government economic reports and analyst reports
Read also:
- Li Auto faces scrutiny after crash test involving i8 model and a truck manufacturer sparks controversy
- Construction and renovation projects in Cham county granted €24.8 million focus on energy efficiency
- Twitter profile of Peng experiences increased popularity in Hong Kong amid anticipation for Q4 launch of extended-range profiles
- Disruptions looming in global chocolate production as Turkey's hazelnut crops face winter perils
