Today's trading session reflected the market's reaction to the US Federal Reserve (Fed) cutting interest rates for the first time this year, by 25 basis points (0.25%).
From the opening bell, trading volume on the Ho Chi Minh Stock Exchange (HoSE) remained similar to the previous session, at times even lower. In the afternoon, typically a more active trading period, liquidity did not improve, widening the gap compared to the same period yesterday.
Despite the sluggish trading, the market experienced significant fluctuations, with the VN-Index swinging over 25 points. The index opened in the green, briefly approaching the 1,680-point mark after the opening auction but failing to hold onto the gains. The market then plateaued, trading sideways. After 10 a.m., the VN-Index began to fluctuate before dipping below the reference point by the end of the morning session.
After the lunch break, the decline deepened, with the VN-Index dropping nearly 17 points at one point before late-session buying provided some support. The VN-Index closed down nearly 6 points, at just above 1,665.
At the close, total trading value on the HoSE reached just over 27,800 billion VND, down nearly 4,700 billion VND from the previous session. This was the lowest level since 10/7.
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Investors watch the electronic board at a securities company's office in Ho Chi Minh City. Photo: An Khuong |
Investors watch the electronic board at a securities company's office in Ho Chi Minh City. Photo: An Khuong
Analysts had previously suggested the market was in a "news vacuum" due to a lack of significant data or events. The market is not expected to see major news until early October, with the FTSE Russell market upgrade results and the third-quarter earnings season.
On the HoSE, 208 stocks declined, nearly double the 108 stocks that advanced. Gains were concentrated mainly in small and mid-cap stocks, including 11 that hit the ceiling price.
Large-cap stocks generally weighed down the overall index, led by VCB, FPT, VNM, and ACB. On the upside, VIC was almost the sole support preventing a steeper decline for the VN-Index. This reflected the divergence among sectors, with technology, oil and gas, insurance, and banking stocks performing poorly, while the real estate sector remained in positive territory.
The market was also under pressure from foreign investors, who were net sellers for the second consecutive session, offloading approximately 1,517 billion VND. They heavily sold VIC, VHM, SSI, and VIX. However, these 4 stocks still gained value during the session, indicating strong absorption of the selling pressure by domestic investors.
Tat Dat
