On the November 23 trading day, the demand outnumbered the supply, causing an overheated fever. Buyers made 5,774 orders for 9.8 million shares and fund certificates (+ 45 per cent) while sellers were willing to offer 3,397 to sell 5.6 million units (- 9 per cent). Although the trading volume reached 4,259,170 shares (+ 24 per cent) and 707,100 fund certificates (-11 per cent) , totally valued VND336 billion, the untraded volume at ceiling price was still 2,669,380 units valued VND229 billion. 43 out of 55 stocks saw prices increasing, including 26 traded at ceiling prices. The VN-Index gained 26.79 points to close at 636.95, surpassing the old record of 632.69 points on April 25, 2006. After five latest trading sessions, the VN-Index grew 77.12 points and showed no signal of fall.
On November 20, the US President George W. Bush paid an official visit to the Ho Chi Minh City Securities Trading Centre and attended roundtable meeting between US and Vietnamese businesses. The presence of President Bush resulted to a market boom. More than 4.4 million shares and more than one million fund certificates were changed hands at a record value of VND345 billion (US$21.5 million). The VN-Index gained 10.47 points to close at 584.26. Consequently, the November 20 trading day made two records: the six-year highest trading volume (20/07/2000 - 20/11/2006) and the highest VN-Index since May 08, 2006.
Among 17 increasing stocks, 07 stocks were traded at ceiling prices. The SJS stock of Sudico led the market with an increase of VND13,000 and traded at VND275,000. Several other blue-chips were also traded at ceiling prices: GMD (VND129,000), SAM (VND106,000), KDC (VND99,500), BMP (VND100,000) and ITA (VND61,500).
However, the supply also soared and outpaced the demand. According to the statistics from the HSTC, buyers placed 3,173 orders for 7.26 million shares and fund certificates (+10 per cent) while sellers offered 5,281 to sell 9.21 million units (59 per cent). In this session, foreign investors spent VND193 billion (US$12 million) to buy 2,994,430 shares and fund certificates, accounting for more than 55 per cent of the total market value.
In the following three sessions, the VN-Index gained additional 38.39 points. On October 21, VN-Index closed at 598.22 points. The supply and demand was rather balanced with respective volumes of 5.7 million units and 5.8 million units. The order-matching volume dropped sharply with only five stocks standing above the VND100,000 benchmark: VNM (486,000 shares), VSH (449,000), REE (265,000), STB (252,000) and CII (160,000).
Foreign investors spent large amount to buy shares after Vietnam joined the WTO (November 07, 2006) and APEC Summit (November 2006). After 12 sessions, the VN-Index increased additional 100 points, 18 per cent, from nearly 520 points on November 06 to 610 points on November 22.
From November 06 to 22, 2006, a total of 25 stocks increased price, 27 stocks fell price and 04 kept unchanged. The soaring VN-Index was mainly due to high demand for blue-chip stocks like GMD, SAM, BMP, VNM, ITA, AGF, KDC and SJS. On the contrary, the market saw the price fall in small stocks like BTC, VFC, SGC; SMC, DCT, FPC, COM and TTC. According to the assessment of VCBS, the capital flows focused on blue-chip stocks.
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