Market opens June with modest gain amid small-cap support

Market opens June with modest gain amid small-cap support

The VN-Index recovered the 1,335-point mark despite early pressure from large-cap declines, while liquidity eased slightly and foreign investors continued to sell, albeit at a reduced pace.

A Techcombank transaction office in HCM City. The lender's TCB shares rose on Monday, contributing to a positive start for the VN-Index in June. — VNA/VNS Photo

Việt Nam’s stock market started June on a positive note with a modest gain on Monday, primarily driven by small and mid-cap stocks.

The VN-Index recovered the 1,335-point mark despite early pressure from large-cap declines, while liquidity eased slightly and foreign investors continued to sell, albeit at a reduced pace.

In the morning session, the market experienced downward pressure from a number of large-cap stocks, briefly pulling the VN-Index below 1,325 points. However, continued cash inflows into small and mid-cap shares helped the rebound to end the session higher.

By the close of trading, the VN-Index rose 3.7 points, or 0.28 per cent, to 1,336.3 points on the Hồ Chí Minh Stock Exchange (HoSE).

Market breadth leaned towards the gainers, with 201 stocks advancing and 125 declining. Liquidity fell by 6.7 per cent from the previous session to VNĐ20.8 trillion (approximately US$798.7 million).

The VN30-Index, which tracks the 30 largest listed companies by market capitalisation, edged down 0.64 points, or 0.04 per cent, to 1,423.04. Within the basket, 16 stocks gained, 13 declined and one remained unchanged.

Leading the market’s upward momentum was Vietnam Rubber Group – Joint Stock Company (GVR), which climbed 2.09 per cent and contributed over 0.6 points to the VN-Index. It was followed by gains in two banking stocks: Techcombank (TCB), up 1.31 per cent and Sacombank (STB), which rose 2.7 per cent.

On the other hand, several major stocks posted losses and weighed on the index. The Vingroup cluster led the decliners, collectively dragging the VN-Index down by nearly five points, with VIC being the most notable, slipping 0.41 per cent.

Analysts from Viet Dragon Securities commented: “The market continued to face resistance at the 1,345-point level and retreated. Liquidity declined slightly compared to the previous session, suggesting reduced profit-taking activity and easing selling pressure, particularly as foreign outflows moderated.

The attempt to break through the 1,345 resistance was unsuccessful, and the market has turned to a corrective phase. A continued pullback may occur in the next session, but support is expected around the 1,320–1,330 zone, buoyed by the prior uptrend, which could support a recovery.”

They added: “However, the chance of surpassing the 1,340–1,345 range has diminished. The market may now enter a consolidation phase between 1,320 and 1,345 points before clearer signals emerge.”

Advising investors, the analysts said: “We recommend that investors slow down and monitor supply-demand developments to better assess the market’s condition. Short-term profit-taking should be considered to optimise performance, while portfolio exposure should be kept at a moderate level.”

On the Hà Nội Stock Exchange (HNX), the HNX-Index advanced 2.95 points, or 1.32 per cent, to 226.17 points. Total trading value on the northern bourse reached VNĐ1.6 trillion, with over 96 million shares exchanged. 

Bizhub