Share purchases by foreign investors in the week from November 28 to December 2 reaching VND9.15 trillion, raising the total net purchase since early November to VND20.2 trillion.
The data showed, this was a rapid net purchase with a big volume not seen over the last 22 years.
Foreign investors focused on key shares belonging to VN30 group, but they also bought others, though many shares have recovered by 50 percent from their bottom. The VN Index increased by 24 percent, from 873 points on November 16 to 1,080 points on December 2, local media reported.
On December 2, foreign investors’ purchase of Sacombank shares reached 13.5 million, totaling VND280 billion, even when the shares had increased by 49 percent over November, thus helping push STB prices up to the ceiling level.
They bought 15.3 million shares of HPG, though its price increased by 65 percent over the last two weeks, from VND11,800 on November 15 to VND19,450/share. They also bought, more than they purchased, millions of shares of VHM, CTG, SSI, KDH, with a total value of VND2.2 trillion.
The net purchase worth nearly VND10 trillion within a single month has never occurred in the last four years. However, the prices of many shares were still low. Many shares dropped by 80-90 percent from their peaks when the market and businesses faced weak liquidity.
The Vietnamese stock market is expected to receive stronger domestic cash flow next year.
Over the last few months, share prices have decreased sharply and the VN Index fell from a peak of 1,520 points in early April to 873 points on November 16. Foreign investors had six months of net purchases out of the total nine months.
Foreign investors sold more than they bought in July, September and October, totaling VND5.4 trillion, but bought more than they sold in the remaining months, totaling VND25.7 trillion.
According to local media, the well-known brands are fund management firms from Taiwan, Thailand, and South Korea. Some firms bought a high number of Vietnam’s shares such as Fubon, VNM DR Diamond and Dragon Capital.
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Source: Vietnam Insider