Market begins August on a positive note

Market begins August on a positive note

Foreign investors provided an additional boost to sentiment, returning as net buyers of more than VNĐ1 trillion on HoSE after recent bouts of selling.

Customers at a Vietcombank transaction room. Shares of the lender soared over 2.5 per cent on Monday, adding nearly 2.7 points to the VN-Index. — Photo vietnamplus.vn

The market began August on a strong note as sustained buying interest lifted the benchmark indices, with bank stocks spearheading gains and foreign investors returning as net buyers.

On the Hochiminh Stock Exchange (HoSE), the VN-Index climbed steadily after opening in positive territory and extended its advance in the afternoon to finish at the day's highest level.

By the close, the benchmark had risen 27.06 points, or 1.56 per cent, to 1,762.84 points, reclaiming the 1,760-point mark. 

Liquidity remained robust on the HoSE, where trading value reached nearly VNĐ19.3 trillion (US$734 million), with more than 770.8 million shares traded. Block transactions accounted for VNĐ3.01 trillion of the total turnover.

The market's breadth improved significantly, with 257 stocks advancing and 76 declining.

The HNX-Index on the Hanoi Stock Exchange (HNX) gained 8.03 points, or 2.96 per cent, to 279.28 points.

Large-cap stocks continued to provide the main support for the market's rally.

MBBank (MBB) was the biggest contributor to the VN-Index, adding 2.67 points, followed by Vietcombank (VCB) with 2.66 points, FPT Corporation (FPT) with 1.74 points, VietinBank (CTG) with 1.66 points and Hoa Phat Group (HPG) with 1.55 points.

Downward pressure remained limited. Vingroup (VIC) was the largest drag on the benchmark, shaving 1.75 points from the index, followed by Masan Consumer Corporation (MCH), Vinamilk (VNM), Vinhomes (VHM) and Nam Long Group (NLG).

Banking shares emerged as the session's standout performers, with most major lenders posting solid gains.

MBB led the sector, surging 6.67 per cent, while Sahabank (SHB) advanced 3.48 per cent, Techcombank (TCB) rose 3.45 per cent, CTG gained 3.25 per cent, HDBank (HDB) added 3.17 per cent, Asia Commercial Bank (ACB) increased 2.97 per cent, VPB climbed 2.82 per cent and VCB rose 2.53 per cent.

The rally also spread to the securities sector, where VIX Securities (VIX), Saigon - Hanoi Securities (SHS), MB Securities (MBS) and Vietinbank Securities (CTS) all gained between 2 per cent and 3 per cent, reflecting improving risk appetite.

Foreign investors provided an additional boost to sentiment, returning as net buyers of more than VNĐ1 trillion on HoSE after recent bouts of selling.

According to analysts at Yuanta Securities Vietnam, the latest market performance suggests that short-term risks have largely been priced in, creating opportunities for investors with higher risk tolerance.

The firm said aggressive investors could consider opening new positions in leading stocks to capitalise on short-term trading opportunities under the T+ settlement cycle.

For medium-term investors, Yuanta recommended using market pullbacks as opportunities to gradually increase exposure rather than chasing prices after strong rallies. 

Bizhub