VN-Index breaches 1,800 point-level

VN-Index breaches 1,800 point-level

As the market successfully crossed the 1,800-point mark just days into the new year, it has set high expectations among investors.

A worker collecting natural rubber latex at a plantation under the operation of Vietnam Rubber Group. Shares of the rubber producer surged 7 per cent on Tuesday. — Photo vrg.vn

The market's benchmark VN-Index experienced a robust surge on Tuesday, with liquidity seeing a notable improvement during this second trading session of the year.

Despite this impressive uptick, the overall excitement was not uniformly shared and remained somewhat constrained, with the market reflecting mixed results.

The VN-Index on the Hochiminh Stock Exchange (HoSE) had climbed 27.87 points, or 1.56 per cent, finishing at 1,816.27 points.

On the HoSE, the breadth was balanced, with 167 stocks advancing against 153 declining. This indicates that while large-cap stocks continued to draw significant investment, mid- and small-cap stocks lagged and did not fully benefit from the index's upward momentum.

Market liquidity continued to increase from the previous session to VNĐ 27.4 trillion (US$1 billion), underscoring a strong consensus among investors as they pushed for new milestone levels.

The VN-Index's gain was heavily supported by large-cap stocks in the VN30 group, which approached the significant threshold of 2,056 points, up 27.28 points, or 1.34 per cent.

In the VN30 basket, 23 stocks ticked up, while only four went down and three ended unchanged.

Leading the charge were stocks within the Vin family, with Vinhomes (VHM) and Vincom Retail (VRE) both hitting their ceiling prices, while Vingroup (VIC) closed at its reference price.

Other key contributors included Vietnam Rubber Group (GVR), PV Gas (GAS) and Petrolimex (PLX), each also reaching their maximum rising price levels, significantly bolstering the index.

A focal point of this breakout was the financial sector, recording a growth of 1.54 per cent. Trading volume in this sector surged to VNĐ11.43 trillion, with increased demand pushing several banking and securities stocks to widen their gains, contributing substantially to the market's overall performance.

Real estate stocks also saw positive performance, rising by 1.76 per cent. Notably, the energy sector exploded with a 3.5 per cent increase, while the infrastructure services sector added 2.97 per cent, creating a strong multi-pillar foundation for market growth.

On the Hanoi Stock Exchange (HNX), the HNX-Index extended its bearish trend to the fourth straight session. It was down 0.22 points, or 0.09 per cent, to 246.52 points.

Despite the market's buoyancy, foreign investors engaged in short-term profit-taking, net selling over VNĐ387.1 billion worth of stocks on HoSE and nearly VNĐ95 billion on HNX.

As the market successfully crossed the 1,800-point mark just days into the new year, it has set high expectations among investors. Many securities firms are forecasting a favourable outlook for the VN-Index this year, predicting levels between 2,033 and 2,099 points.

The anticipated drivers for this forecast include a robust expected growth in corporate profits, projected at approximately 19 per cent compared to the previous year. 

Bizhub