Gains across the board helped lift the VN-Index by 0.93 per cent on Thursday to a close of 521.01 points, with advancers outnumbering decliners by 142-37.
The value of trades on the HCM City Stock Exchange also swung back just above the VND2 trillion-level (About US$105.8 million), on a volume of nearly 52.6 million shares. PetroVietnam General Services Company (PET) claimed the spot as most-active share, with 2.5 million changing hands.
Financial stocks saw a rebound on the day, with PetroVietnam Finance (PVI) up 1.38 per cent, Bao Viet Holdings (BVH) up 0.46 per cent, and VietinBank (CTG) up 0.35 per cent.
But activity was heaviest in penny stocks. Shares of Thuan An Food Processing (GTA) and Construction No.5 (SC5), for instance, each gained 5 per cent in value.
The HCM City Stock Exchange yesterday greeted its 226th listing, Cu Chi Commercial & Industrial Development and Investment (CCI), listed 9 million shares. CCI shares shot up from an offering price of VND30,000 to a close of VND36,000 on a first-day volume of 104,830 shares.
On the Ha Noi Stock Exchange, the HNX-Index rallied for a second day, advancing 1.66 per cent to 171.86 points. The value of trades remained a solid VND1.6 trillion, on a volume of 47.2 million shares. PetroVietnam Construction (PVX) continued to be the most-active share nationwide, responsible for 5.7 million trades.
The northern bourse saw 200 gainers and only 47 losers on the day, and financials shares all fared well. Asia Commercial Bank (ACB) advanced by 0.89 per cent, Kim Long Securities (KLS) closed up 0.84 per cent, and Bao Viet Securities Company (BVS) rose by 0.26 per cent.
Yesterday was also the first day of a listing by PetroVietnam Power & Land (PVL) on the Ha Noi Stock Exchange. PVL shares closed down to VND31,600 from an opening price of VND40,000 per share, with a volume during the session of 3.38 million.
Adrian Cundy, Head of research for Vina Securities Company, said Wednesday's decision by the State Bank of Viet Nam to remove the interest-rate cap on short-term commercial loans helped support yesterday's market rebound, since a deregulated interest market was expected to give companies easier access to credit.
Banks had also shown a willingness to offer reasonable terms, Cundy said.
"Following two days of selling off, we believe the HCM City Stock will advance to 530 points to close the week," he said.
But independent analyst Nguyen Anh Dung remained skeptical of a sustained market rally since most money was still flowing toward penny stocks and the rebound of blue chips was insignificant.
"Athough the 520-mark has been achieved, I still doubt on market stability," he said, suggesting that the uptrend would be more credible if blue chips continued to gain through the end of week.
Foreign investors returned active in trading on both exhcanges yesterday as they bought a combined net of 2.4 million shares, worth a total of VND152.25 billion ($8 million).