HANOI: The Vietnamese stock market moved to a significant turning point after a correction phase, with a recovery in the past trading week.
The VN-Index ended last week with impressive gains. However, analysts remained cautious about the sharp decline in liquidity and raised concerns about the sustainability of the upward momentum.
At the start of the week, the stock market was down. The VN-Index declined to its lowest point at 1,264.65, causing concern among investors.
However, the situation reversed with bottom-fishing demand, helping the market recover strongly thereafter.
On the Ho Chi Minh Stock Exchange (HoSE), the VN-Index closed the week at 1,288.39 points, while the HNX-Index on the Hanoi Stock Exchange (HNX) ended at 231.37.
Both indices experienced significant weekly changes, with the VN-Index rising by 1.4%, while the HNX-Index saw a decline of 0.56%.
Liquidity on both exchanges were marked with a sharp decline. Trading volume dropped by 26.23% on the HoSE and 28.05% on the HNX, compared to the previous week.
This indicator reflected the cautious sentiment among investors, as confidence has yet to be fully restored.
It also clearly depcits a major tug-of-war between buying and selling forces, creating a complex and unpredictable market scenario.
Foreign investors continued to play a huge role in market dynamics.
They recorded a net selling value of 316.36 billion dong on the HoSE, focusing their sales on large-cap blue-chip stocks such as VPB, HDB, VHM and MWG.
Notable net buying in certain stocks, such as TCB and MSN, helped to balance the overall picture of foreign trading.
Head of analysis at Saigon-Hanoi Securities, Phan Tan Nhat, said that based on reports from the World Trade Organisation, regarding global trade growth and macroeconomic indicators, there were positive signals for Vietnam’s economy. — Viet Nam News/ANN
