The benchmark VN Index on the HCM Stock Exchange gained 0.94 percent to close at 733.82 points, setting a fresh nine-year high.
Investors at HCM City Securities Company. (Photo for illustration)
The HNX Index on the Hanoi Stock Exchange advanced 0.78 percent to end at 92.18 points. The Northern market index bounced back from the 0.5 percent loss on May 18.
The VN Index has posted a weekly gain of 1.2 percent compared to the previous trading week, and the HNX Index has gained 2 percent.
More than 281.6 million shares were traded on both local bourses, worth VND 6.11 trillion (USD 271.58 million).
The stock market was driven up by strong gains of brokerages and energy companies, which saw their sector indices up 5.4 percent and 0.8 percent, respectively, according to vietstock.vn.
Among securities companies, HCM City Securities (HCM), Saigon Securities (SSI), Saigon-Hanoi Securities (SHS) and VNDirect Securities (VND) were the strongest gainers.
Of those four companies, HCM and SHS hit their daily trading limit of 6.9 percent and 9.6 percent, respectively.
HCM City Securities on Friday officially erased the limit of foreign ownership in its capital, allowing foreign investors to purchase up to 100 percent of its shares. Its shares have jumped 12.4 percent in the last three sessions.
Shares of Saigon-Hanoi Securities have soared nearly 12 percent since May 16, after the company announced it will pay an 8 percent dividend in cash for 2016 performance and the list of beneficiary shareholders will be finalized on May 26.
A three-day rally of oil prices in the Asian trading session also helped bolster investor confidence in local energy stocks.
Brent crude gained 1.1 percent to trade at more than $53 a barrel, totaling a three-day increase of 2.8 percent. It has made a 9 percent increase since May 9.
Among local energy stocks, PetroVietnam Gas (GAS) gained 2.2 percent, PetroVietnam Coating (PVB) added 2 percent, and PetroVietnam Technical Services (PVS) edged up 0.6 percent.
Other sectors that also posted good gains included banks, agriculture firms, rubber producers and construction corporations.
The main force behind the market gains on May 19 was the shift of investment flow from property developers, which have seen their share prices increase strongly recently, to large-cap companies, improving investor confidence and put the VN Index at its fresh nine-year high, BIDV Securities (BSC) said in its report.
The market condition will remain positive, with the VN Index targeting the short-term peak of 740 points and liquidity increasing strongly and firmly, BSC said.
Source: VNA