A BIDV office in Thanh Hóa. BID shares of this bank led the decliners on Friday. — Photo courtesy of BIDV

 

The stock market concluded the Friday trading session with significant losses, as the VN-Index fell sharply, closing near the 1,230-point mark. Banking stocks were among the largest losers, driving the market downturn. However trading liquidity improved significantly compared to the previous session, while foreign investors continued their net-selling streak.

 

On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index closed at 1,230.48 points, down 15.29 points or 1.23 per cent.

 

Market breadth was decidedly negative, with 250 declining stocks compared to 68 advancing. Trading value on the southern bourse increased significantly, to approximately VNĐ11.2 trillion (US$440.1 million), a 49.3 per cent rise from the previous session.

 

The VN30-Index, which monitors the top 30 largest-cap stocks on HoSE, also recorded a notable drop, losing 17.57 points or 1.34 per cent, closing at 1,293.23 points. Within the VN30 basket, 26 stocks fell, three rose, and one remained unchanged.

 

The banking sector exerted significant downward pressure on the market. The Bank for Investment and Development of Vietnam (BID) dropped 2.13 per cent, removing more than 1.4 points from the VN-Index.

 

Similarly, the Vietnam Technological and Commercial Joint Stock Bank (TCB) declined 2.3 per cent, while the Bank for Foreign Trade of Vietnam (VCB) fell 0.54 per cent and the Ho Chi Minh City Development Joint Stock Commercial Bank (HDB) suffered a sharp loss of 3.36 per cent.

 

Other notable losers included Hòa Phát Group JSC (HPG), down 1.73 per cent, and Masan Group Corporation (MSN), which dropped 2.67 per cent.

 

Despite the overall decline, some large-cap stocks provided marginal support. Southeast Asia Commercial Joint Stock Bank (SSB) rose 2.05 per cent, contributing over 0.24 points to the VN-Index.

 

Analysts from Việt Dragon Securities commented: “The market lost balance and fell below the MA(200) level at 1,240 points. Liquidity increased compared to the previous session, indicating rising supply while supportive cash flow remained cautious.

 

"The current significant decline has raised risks for the market. Weakness may persist in the next session, and the market will likely test supply and demand around the 1,230-point region. To regain upward momentum, the market needs stronger support from cash flow at this level.”

 

Investors were advised to: “Take a cautious approach and observe supply-demand dynamics at support levels to reassess market conditions. Temporarily, portfolio adjustments should aim to reduce risk exposure. However, buying opportunities could be considered if strong support from cash flow is observed, prioritising stocks showing positive trends from support levels or those retreating to strong support areas.”

 

On the Hà Nội Stock Exchange (HNX), the HNX-Index also ended lower, dropping 1.1 per cent to close at 219.49 points. Trading value on the northern exchange exceeded VNĐ787 billion, with over 49 million shares traded.

 

Foreign investors continued to offload stocks, with a net sale of over VNĐ220 billion on HoSE and more than VNĐ16 billion on HNX. — VNS

 

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