The stock market extended its recovery on Thursday, driven by gains in the banking sector, as the VN-Index officially crossed the 1,270-point mark. However, trading liquidity saw a slight decline, and foreign investors maintained their net-selling trend.
VN-Index Sees Modest Gains Amidst Mixed Market Sentiment
On the Ho Chi Minh City Stock Exchange (HoSE), the VN-Index edged up by 1.87 points (0.15%), closing at 1,271.48 points. Despite the index’s advance, market breadth remained negative, with 160 declining stocks outpacing 148 gainers.
Trading liquidity dropped slightly to approximately VNĐ12.9 trillion (US$511.1 million), with nearly 570 million shares changing hands, reflecting cautious investor sentiment.
The VN30-Index, which tracks the 30 largest-cap stocks on HoSE, gained 5.24 points (0.39%), settling at 1,336.59 points. Among the VN30 components, 14 stocks advanced, 11 declined, and five remained unchanged.
Banking Stocks Lead the Market Rally
The banking sector played a key role in sustaining the market’s upward momentum. Vietnam Technological and Commercial Joint Stock Bank (TCB) led the gains with a 2.02% increase, contributing 0.86 points to the VN-Index.
Other notable performers in the sector included:
• Lien Viet Post Joint Stock Commercial Bank (LPB): +1.67%
• Bank for Foreign Trade of Vietnam (VCB): +0.32%
• Bank for Investment and Development of Vietnam (BID): +0.51%
Real estate giant Vingroup Joint Stock Company (VIC) also provided support, rising 1.1%.
Large-Cap Losses Cap Market Gains
Despite banking-led advances, declines in certain large-cap stocks limited the market’s gains:
- Vietnam Dairy Products Joint Stock Company (VNM): -1.3% (erasing nearly 0.4 points from the VN-Index)
- Bình Sơn Refining and Petrochemical Company Limited (BSR): -1.2%
- FPT Digital Retail Joint Stock Company (FRT): -4.95%
Market Outlook: Consolidation Phase with Potential for Further Gains
Analysts at Việt Dragon Securities noted that while the market continued to rise, gains remained modest, forming a star-shaped candlestick pattern due to hesitation among large-cap stocks.
Although liquidity declined compared to the previous session, it remained above the 20-session average, suggesting that capital flows are still active, and supply pressure remains temporarily low.
Looking ahead, analysts expect the market to stay in a consolidation phase but note that sustained positive momentum could help the VN-Index gradually test the 1,275–1,285-point resistance zone.
Investment Strategy:
- Investors may consider short-term opportunities in stocks showing strong rebounds from support levels.
- However, profit-taking is advisable for stocks that have surged toward key resistance levels.
HNX-Index Declines as Foreign Investors Continue Selling
On the Hanoi Stock Exchange (HNX), the HNX-Index slipped 0.5%, closing at 229.13 points. Trading value exceeded VNĐ743 billion, with over 45 million shares exchanged.
Foreign investors remained net sellers, offloading shares worth over VNĐ344 billion on HoSE, though their selling pressure eased compared to previous sessions.
Despite banking sector strength, the market faced mixed sentiment due to losses in key large-cap stocks. While the VN-Index has successfully crossed 1,270 points, investors remain cautious amid foreign outflows and sector-specific volatility. Moving forward, the market’s ability to sustain its upward trajectory will depend on whether banking stocks can maintain their momentum and whether liquidity remains supportive.
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Source: Vietnam Insider