Vietnam Stock Market to Recover in Second Half: Analyst

The securities market of Vietnam will bounce back in the second half of this year, when the effects of the government’s stimulus package kick in, the Young People newspaper reported quoting stock analysts as saying.

 

Dinh The Hien, director of the Institute of Informatics and Applied Economic Research, said investors should make long-term investments in a negative market, suggesting retailers should enter after the first quarter.

 

“If people start to invest in shares now, they could get “remarkable” returns in one or two years,” he said.

 

General Director of SJC Securities Co., an offshoot of Vietnam’s largest gold trader SJC, Huynh Anh Tuan also said investors should now look for stocks that can rebound strongly when the market rallies.

 

Dong A Securities Co. suggested in a statement that investors should buy shares of well-run companies as prices on the Ho Chi Minh Stock Exchange have become cheap.

 

Lawrence Wolfe, director of the Business Development Division of a HCMC-based broker, predicted foreign investors will strongly buy in local shares from 2010, when their concerns about the financial crisis will diminish and they will be attracted by the low prices in Vietnam.

 

The stock market tumbled 68 per cent last year and has remained gloomy so far this year. The VN-Index has broken the psychological 300-point benchmark in the first session after Tet holiday. (Young People)