Vietnam’s equity index reached its highest level in more than a year after two units of its biggest component said they’d buy back shares.
The VN Index climbed the most among major Asian gauges, rising 1.7% to 1,015.59. Vinhomes SJC surged by the daily limit of 7% and Vincom Retail JSC advanced 5.6% after they said they’d buy back as much as 60 million shares and 56.5 million shares, respectively. Vingroup JSC, a real estate company that accounts for almost 12% of the nation’s benchmark, rose 2.9%, the most since Aug. 22.
Maybank Kim Eng Securities Ltd. is watching to see if the benchmark gauge can maintain its advance beyond 1,000. If the VN Index manages to “break the strong resistance zone of 1,000-1,004 points and head toward a stronger resistance zone, investors may consider raising stock exposure,” according to a note.
By Nguyen Kieu Giang @ Bloomberg