Market corrects as liquidity continues to decline
Market corrects as liquidity continues to decline
On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index closed at 1,246.95 points, rising slightly by 0.6 points, or 0.05 per cent.
A transaction counter at Nam Á Bank. NAB shares hit the ceiling on Tuesday, contributing to slowing down the VN-Index's decline. — Photo courtesy of Nam Á Bank |
he stock market experienced a small rebound on Tuesday after two consecutive sessions where the VN-Index lost over 23 points. Liquidity continued to decline, while foreign investors remained net sellers, albeit at a reduced pace.
On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index closed at 1,246.95 points, rising slightly by 0.6 points, or 0.05 per cent.
Market breadth remained negative, with 194 declining stocks, 118 advancing and 44 unchanged. Liquidity continued to fall slightly to approximately VNĐ13.2 trillion (US$520.6 million), reflecting a 3.6 per cent decrease compared to the previous session.
Meanwhile, the VN30-Index, which tracks the top 30 largest-cap stocks on the HoSE, increased by 2.24 points or 0.17 per cent, to close at 1,315.28 points. Within the VN30 basket, 14 stocks advanced, 13 fell and three remained unchanged.
The market’s recovery was primarily led by Bank for Investment and Development of Vietnam (BID), which surged by 4.12 per cent, adding nearly 2.8 points to the VN-Index. Additionally, Investment and Industrial Development Corporation (BCM) climbed by 3.27 per cent, while Military Commercial Joint Stock Bank (MBB) advanced by 2.12 per cent. Nam Á Commercial Joint Stock Bank (NAB) hit its daily ceiling price with a gain of 6.96 per cent and Vietnam Joint Stock Commercial Bank for Industry and Trade (CTG) rose by 0.67 per cent.
However, gains were tempered by declines in several large-cap stocks. Vietnam Rubber Group - Joint Stock Company (GVR) dropped by 3.74 per cent, Bank for Foreign Trade of Vietnam (VCB) declined by 0.65 per cent and Viet Nam Dairy Products Joint Stock Company (VNM) fell by 1.28 per cent.
Analysts from Việt Dragon Securities said: “The market's decline was halted thanks to support around the 1,245-point level. Liquidity fell slightly compared to the previous session, indicating that selling pressure temporarily eased, but cash flow remains cautious.”
They added: “The market is expected to continue receiving support around the 1,245-point level in the next session, with a potential technical rebound towards 1,252 points. However, the recent movement below the 200-day moving average (MA200) continues to pose a risk of weakening the market in the near term.”
“Investors should carefully observe the supply and demand dynamics to reassess market conditions. Caution remains essential while awaiting stronger signals from cash flow. Maintaining a balanced portfolio to manage risk is recommended.”
On the Hà Nội Stock Exchange (HNX), the HNX-Index fell by 0.88 per cent to close at 220.98 points, with trading value exceeding VNĐ847 billion and 48.5 million shares traded.
Foreign investors resumed their net-selling trend, offloading shares worth over VNĐ90 billion on the HoSE.
