Market sees mild recovery as liquidity declines
Market sees mild recovery as liquidity declines
The stock market saw a modest recovery on Tuesday following Monday’s sharp decline, bringing the VN-Index closer to the 1,270-point mark.
A Fortune Vietnam Joint Stock Commercial Bank transaction office. The bank's LPB shares rose on Tuesday, contributing to the VN-Index's recovery. — Photo courtesy of LPB |
The stock market rebounded slightly on Tuesday after a sharp decline on Monday, with the VN-Index approaching the 1,270-point threshold. Liquidity, however, continued to decline, while foreign investors extended their net-selling streak to seven consecutive sessions.
On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index gained 5.19 points, or 0.41 per cent, to close at 1,268.45 points. Market breadth remained positive, with 189 gainers surpassing 133 decliners. Trading liquidity fell to approximately VNĐ14.2 trillion (US$556.3 million), with nearly 630 million shares traded.
The VN30-Index, which tracks the 30 largest stocks by market capitalisation on the HoSE, also rose by 7.52 points, or 0.57 per cent, to end at 1,338.4 points. Within the VN30 basket, 16 stocks advanced while 14 declined.
Large-cap stocks played a crucial role in the market’s rebound. FPT Corporation (FPT) surged by 2.39 per cent, contributing more than 1.2 points to the VN-Index.
Hòa Phát Group Joint Stock Company (HPG) also gained 2.76 per cent, while Vietnam Joint Stock Commercial Bank for Industry and Trade (CTG) advanced by 0.99 per cent. Vietnam Airlines JSC (HVN) and Fortune Vietnam Joint Stock Commercial Bank (LPB) posted gains of 3.38 per cent and 1.23 per cent, respectively.
On the downside, Mobile World Investment Corporation (MWG) declined by 1.74 per cent, Bank for Foreign Trade of Vietnam (VCB) fell by 0.33 per cent, and Investment and Industrial Development Corporation (BCM) dropped by 1.13 per cent, slightly capping the market’s overall gains.
Analysts at Việt Dragon Securities said: “With the market’s recovery, multiple stock groups turned positive and the number of gainers increased significantly. Liquidity declined compared to the previous session, suggesting that supply pressure has eased. However, capital inflows remain limited and are primarily concentrated in mid and small-cap stocks.
"While market support signals are not yet decisive, the current momentum could still provide an impetus for a short-term recovery. The VN-Index is expected to retest the 1,260–1,265-point range, where supply and demand dynamics will play a key role in determining the market’s next direction.
“Investors can expect further market recovery and may explore short-term opportunities in stocks that are showing strong rebounds from support levels or have retreated to solid support zones.”
On the Hà Nội Stock Exchange (HNX), the HNX-Index also edged up by 0.39 per cent to close at 228.87 points, with trading value exceeding VNĐ775 billion and over 58 million shares traded.
Foreign investors continued their net-selling trend for the seventh consecutive session, offloading shares worth more than VNĐ581 billion on the HoSE and over VNĐ10 billion on HNX.
