VN-Index drops over 16 points

Vingroup's VIC stock fell 3,5%, becoming the primary factor in the stock market's decline of over 16 points.

The VN-Index closed down over 16 points yesterday, settling near 1,897 points, primarily due to a significant drop in Vingroup's VIC stock. VIC, which fell 3,5% to 218,700 dong, alone contributed over 13 points to the benchmark index's decline. This occurred amidst continued net selling by foreign investors, who offloaded approximately 1,685 billion VND worth of shares.

The market experienced a volatile trading day. The VN-Index initially opened in the green, briefly reclaiming the 1,920-point mark after opening price orders were processed. However, within minutes, the index was pushed below its reference level, remaining in negative territory for the rest of the session. The market struggled around the critical psychological 1,900-point level from 9h30 and then declined further late in the morning, at one point plunging nearly 27 points.

In the afternoon, the stock market mostly traded sideways around 1,890 points, showing some improvement to the 1,900-point area after 14h. Despite this, the benchmark index fell back to the 1,890-point range during the ATC (At-The-Close) session, ultimately closing near 1,897 points.

Despite the HoSE benchmark index seeing a significant correction, the number of advancing and declining stocks did not differ significantly, with 144 and 152 codes respectively. This indicated low market consensus and suggested that the drop was not broad-based. Notably, the VN30 index, representing large-cap stocks, only dropped slightly more than one point, with 16 declining codes. Total transaction value on the HoSE reached over 22,000 billion VND, a decrease of 31%. This lower liquidity was a positive sign, indicating that selling pressure was not widespread and investors maintained a balanced and cautious sentiment.

Foreign investors continued their net selling streak, offloading approximately 1,685 billion VND. The most heavily net-sold stocks included VIC (over 517 billion VND), FPT (over 316 billion VND), MBB, VHM, and ACB. Conversely, VPB and VCB saw active buying from investors. Additionally, other stocks like GAS, GVR, and BSR also negatively impacted the market, as state-owned enterprise stocks experienced a correction after a strong rally in previous sessions.

Following yesterday's volatile trading session, many analysis groups view the market as entering a sensitive phase. According to Saigon - Hanoi Securities (SHS), market quality is weakening, with many short-term positions incurring losses, leading to sudden strong selling pressure. Therefore, experts advise investors who maintain high portfolio weights and diversified portfolios to continue risk control and restructure short-term portfolios towards high-quality stocks and sectors. SHS's general recommendation is to maintain a reasonable portfolio weight, with investment objectives focused on stocks with strong fundamentals, leading positions in strategic industries, and superior economic growth.