Vietnam Stock Market Pauses Rally as Key Sectors Retreat; Foreign Investors Continue to Sell

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HCMC – May 29, 2025 – After four consecutive days of gains, Vietnam’s stock market lost steam today as selling pressure emerged across several major sectors, ending the VN-Index’s rally despite only a slight pullback in price.

The benchmark VN-Index, representing the Ho Chi Minh City Stock Exchange (HOSE), edged down to close at 1,341 points — a marginal drop from the previous session, but enough to snap its four-session winning streak that had lifted the index to its highest level in three years.

Market breadth remained relatively balanced, with 163 stocks advancing and 162 declining. However, among large-cap stocks, the tone was decisively negative: only 8 gained while 21 fell, signaling weakness at the top end of the market.

Banking, Steel, and Oil Lead the Decline

The banking sector, a major market pillar, saw broad losses. VietinBank (CTG) dropped 1.6% to VND 38,900, while SHB, SSB, HDB, and VIB all declined between 0.8% and 1.1%. A few names bucked the trend — notably Eximbank (EIB), which surged 5.3% to VND 22,900, and Techcombank (TCB), which rose 1% to VND 30,800.

Steel and oil & gas stocks — which had rallied strongly in recent sessions — also came under pressure from profit-taking. PetroVietnam Oil (OIL) led losses with a 2.8% drop to VND 10,300. Heavyweights PLX, BSR, and PVD each declined more than 1%.

Other cyclical sectors such as fertilizers, securities, and port logistics also slipped below their reference prices, though the corrections generally stayed under 2%.

Real Estate Shines as Market Support

In contrast, real estate provided critical support to the market. The sector was mostly positive, with only two small-cap stocks (NBB and KHG) in the red. Property developer Novaland (NVL) hit its ceiling price of VND 13,950 and closed with a buy-side surplus of over 4.8 million shares. HDC, CEO, AGG, and NLG each posted gains exceeding 3.5%.

Meanwhile, stocks associated with Vingroup Group remained resilient. While VIC held flat at VND 97,000, other group-linked shares sustained their upward momentum.

Trading Volume Softens; Foreign Investors Extend Selling Streak

Total market liquidity reached VND 20.89 trillion (approximately USD 820 million), down by around VND 1.5 trillion from the previous session. SHB led in matching order value at VND 1.06 trillion — the only stock to surpass the VND 1 trillion mark — far ahead of others such as NVL, VPB, and GEX.

Foreign investors continued to offload Vietnamese equities, extending their net selling streak to a fifth straight session. They sold a net VND 256 billion (USD 10 million) today, bringing total outflows for the week to significant levels. Key targets of foreign selling included banking giants CTG, SHB, and VPB.

While today’s session marked a pause in the VN-Index’s upward march, the overall market sentiment remains cautiously optimistic. Investors are advised to monitor sector rotations closely, especially the resilience in real estate and the evolving trend in foreign capital flows — which could influence short-term volatility.

For foreign investors eyeing Vietnam, the market remains fundamentally strong but sensitive to shifts in sector momentum and profit-taking behavior at multi-year highs.

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Source: Vietnam Insider