Hanoi (VNS/VNA) - The benchmark VN-Index is heading to the 870-point landmarkthis week with the support of large-cap stocks experts have predicted, butcautioned a likely correction after a long rally. Onthe Ho Chi Minh Stock Exchange, the VN-Index expanded 2.9 per cent last week, closing November 10 at 868.21 points. This is the sixth straight week of gains for theVN-Index with cumulative growth of 8.2 per cent since October 2. Liquidityhit a record high since the establishment of the southern bourse with anaverage of 195.4 million shares worth over 8.5 trillion VND (374.5 million USD)being traded per session. However,like what happened in the previous weeks, trading focused on large-cap stocks,especially newly-listed Vincom Retail (VRE) and dairy giant Vinamilk (VNM) lastweek. VincomRetail debuted over 1.9 million shares on the HCM Stock Exchange on November 6.With a gain of nearly 27 percent in the first trading week, the company becamethe seventh largest company, valued at 82.4 trillion VND (3.63 billion USD). Tradingon this stock mainly happened through put-through (negotiated) transactions. OnNovember 7 alone, foreign traders bought nearly 410 million VRE shares worthmore than 16.6 trillion VND while selling 286.8 million shares worth 10.9trillion VND. Accordingto market analysts, VRE may be the new factor helping the VN-Index continue itsgains in the coming trading weeks. Meanwhile,its parent company VinGroup (VIC) also increased for four consecutive sessions,up 9.6 percent for the week. Dairyfirm Vinamilk also had four growing sessions last week with gains of 12 percent. Especially, it hit the ceiling price of 7 percent growth on November 10 thanks to news of the successful auction of 3.33 per cent of capital by theState Capital Investment Corporation on the same day. Foreigntraders paid over 1 trillion VND to purchase a net 6.6 million Vinamilk shareson November 10. Accordingto Sai Gon- Hanoi Securities JSC (SHS), money flows still concentrated mainlyin the large-cap group, helping push up prices of these shares and therebylifting the VN-Index to new peaks. However,market divergence continued to happen, causing profit-seeking opportunities toshrink for a large number of investors, SHS analysts wrote in a note. “Ingeneral, the uptrend may continue over the next week but a cautious view inthis period is necessary,” they said, predicting the VN-Index can cross thepsychological threshold of 870 points. Onthe Hanoi Stock Exchange, the HNX-Index also increased over 1.9 percent lastweek, ending November 10 at 106.37 points. Without the support of major blue chips,liquidity was modest with about 38 million shares worth 465 billion VND beingtraded per session. Energystocks had positive trades last week when major stocks including PV Gas (GAS),Petrolimex (PLX), PetroVietnam Drilling and Well Services (PVD) andPetroVietnam Technical Services (PVS) gained between 4.5-6.9 percent each. Theirgrowth was mainly driven by continuous increases in global oil prices whichextended to five consecutive weeks of gains amid fears of instability in theMiddle East. Twomajor commodities – West Texas Intermediate (WTI) and Brent – rose by more than2 percent last week. Accordingto observers, oil price hikes in recent weeks are due to efforts to cutproduction of major oil producers. Atthe meeting of the Organization of Petroleum Exporting Countries (OPEC) onNovember 30, producers are expected to extend their expiration agreement toMarch 2018. Meanwhile, US crude production is expected to rise to 9.2 millionbarrels a day this year and 10 million barrels a day next year. Analystspredict positive development in the global oil market will likely supportdomestic oil stocks in the near future. Besides the oil sector, banking and rubberstocks also increased substantially last week. Major stocks in these groups sawgrowth of 4-14 percent.-VNA