VN-Index posts steepest fall in one month

VN-Index posts steepest fall in one month

Meanwhile, foreign investors returned to net buying, following two consecutive sell-off sessions.

Inside an assembly plant owned by VinFast, a subsidiary of Vingroup. Shares of Vingroup dipped nearly 6 per cent on Monday, leading the market's downtrend. Photo courtesy of the company

The stock market opened the new week on a negative note, weighed down by rising selling pressure as the VN-Index approached the psychological level of 1,500 points.

On the Ho Chi Minh Stock Exchange (HoSE), the VN-Index lost 12.23 points, or 0.82 per cent, to 1,485.05 points. The fall marked its steepest decline since mid-June, primarily driven by a sharp drop in large-cap stocks, especially the Vin-family stocks.

This morning, the index started positively, soaring to nearly 1,512 points, just 1 per cent shy of its historical peak. However, this momentum was short-lived, as profit-taking from several major stocks spread throughout the market. 

Consequently, the index reversed its gains and fluctuated around the reference point for an extended period.

As the trading day progressed, volatility intensified ahead of the closing session, particularly with significant declines in Vin-family stocks. 

Market breadth was in the negative territory, as the number of decliners surpassed that of gainers by 203 to 118. 

Liquidity on the southern bourse decreased slightly from the last trading session, but remained high at over VNĐ35.4 trillion (US$1.35 billion).

The VN30-Index, which tracks the 30 biggest stocks in terms of market cap, also dipped by 15.85 points, or 0.96 per cent, to 1,628.06 points. In the VN30 basket, 17 ticker symbols dropped while 12 ticked up and one stayed flat. 

The index is now approaching the 1,475-1,480 point range, a support area closely monitored by various securities firms. 

According to Yuanta Vietnam, breaching this price zone could lead to increased correction pressure in the upcoming trading sessions, potentially extending the downward trend throughout the week.

Statistics from VNDirect Securities showed that the stocks alone accounted for a nearly 11-point drop in the VN-Index. 

Following a robust rally the previous week, Vingroup (VIC) fell nearly 6 per cent, while Vinhomes (VHM) plunged by 4.2 per cent and Vincom Retail (VRE) and Vinpearl (VPL) dropped by 1.5 per cent and 1.3 per cent, respectively.

Other stocks in the realty sector also faced a strong selling force. LDG Investment (LDG) hit the floor price, down 7 per cent, and stocks like Khai Hoan Lan Group (KHG), Dat Xanh Real Estate Services JSC (DXS), Sai Gon Thuong Tin Real Estate JSC (SCR) and Hadoco (HDG) all dropped over 4 per cent. 

Mid-cap stocks such as Khang Dien House (KDH), Novaland (NVL) and NLG Corporation (NLG) also suffered losses exceeding 1.5 per cent.

The financial sector, including banking and securities, saw a similar trend. 

The market’s losses were capped by gains in some pillar stocks, led by VPBank (VPB). Shares of the lender rose 4.4 per cent today. 

It was followed by Sahabank (SHB), which gained over 2.8 per cent. The stock's liquidity continued to lead the market, with an additional session recording over 100 million shares traded. 

Since the beginning of the year, SHB has had 11 sessions with over 100 million shares traded, making it the most liquid stock in the VN30 and banking sector. Foreign investors net purchased over four million shares.

Vietnam Airlines (HVN) also surged to its ceiling price of VNĐ31,600, becoming one of the few stocks to hit the upper limit on the HoSE. 

On the Hanoi Stock Exchange (HNX), the HNX-Index also finished lower at 145.79 points, down 1.98 points, or 0.8 per cent. 

Meanwhile, foreign investors returned to net buying, following two consecutive sell-off sessions. 

They net bought nearly VNĐ181.3 billion on HoSE and VNĐ13.53 billion on HNX.  

Bizhub