Foreign cash flows push VN-Index past 3-year peak

By Ta Phu, Bach Quang
Tue, July 8, 2025 | 7:28 am GMT+7

With positive sentiment from both domestic and foreign investors, VN-Index on Monday surpassed the 1,400 mark after more than three years. The last time the benchmark index reached this level was on April 19, 2022.

Investors look at Vietnamese stock prices. Photo by The Investor/Trong Hieu.

Investors look at Vietnamese stock prices. Photo by The Investor/Trong Hieu.

Before the trading day on Monday, July 7, there were many concerns about the scenario that VN-Index would experience a shakeout adjustment, because this was the session that recorded 1.3 billion shares traded on Thursday, July 3 appearing in investor accounts.

Some securities firms are concerned that VN-Index, which represents the Ho Chi Minh Stock Exchange (HoSE), is in a short-term overbought state after three consecutive weeks of increasing points.

However, contrary to those concerns, VN-Index opened the session on Monday, July 7 with excitement and maintained green throughout the morning session. The good sentiment of domestic and foreign investors supported the index. Cash flow also rotated between industry groups.

The positive sentiment continued to be maintained in the afternoon session. Notably, the index successfully surpassed the resistance of 1,400 points near the end of the session.

That meant, after more than three years, VN-Index officially surpassed the 1,400 mark. The last time the index reached this mark was on April 19, 2022, when the index dropped by 65.676 points to 1,406.45.

HoSE liquidity "exploded" with nearly 1.3 billion shares traded, equivalent to a trading value of nearly VND28,000 billion ($1.07 billion). Buying power overwhelmed the HoSE with 224 stocks increasing and only 87 stocks decreasing.

The market closed positively with the leadership of the banking group in the VN30 group, which comprises 30 largest caps. All stocks SHB, CTG, HDB closed at the session's highest level. Notably, SHB closed at the maximum level in a "no sell side" situation.

VN30 was also the main driving force on Monday when it increased by nearly 20 points (equivalent to 1.34%) with 27 stocks increasing, one stock unchanged, and two stocks adjusting down. Not only concentrated in the VN30 group, cash flow spread to the midcap (+0.38%) and smallcap (+0.66%) groups.

In terms of industry groups, banking had the strongest increase in the market. In addition to large-cap stocks, many small and medium-cap stocks performed positively. All "king stocks" gained well, except for PGB (-0.7%).

In addition, many stocks in the securities, residential real estate, industrial real estate, chemicals, healthcare, steel, cement, and fertilizer groups increased well.

An important driving force that brought VN-Index back above the 1,400 mark was foreign investors. On Monday, July 7 alone, foreign investors net bought over VND1,227 billion ($46.98 million) on the HoSE, marking four consecutive net buying sessions.

The net buying momentum of this group focused heavily on banks with remaining "room" such as SHB (net buying VND553.21 billion or $21.18 million), CTG (VND126.61 billion), and HDB (VND101.93 billion).

According to analysts, this development shows that foreign investors are likely restructuring their portfolios to anticipate a market upgrade that may take place next September.

At a regular press meeting of the Ministry of Finance on July 2, Hoang Van Thu, Vice Chairman of the State Securities Commission, said he believes that international organizations will agree to upgrade the Vietnamese stock market in the FTSE Russell assessment period in September this year.

FTSE Russell is one of the world's three leading index providers, along with MSC and S&P Dow Jones Indices, creating a reference base for international investors.

Deputy Minister of Finance Nguyen Duc Chi also said that the goal is to upgrade the stock market status from "frontier" to "emerging" this year. "Therefore, all work is being done with great effort."

The Ministry of Finance is coordinating with relevant ministries and agencies to implement work to have the market upgraded. However, one of the important factors that rating organizations are interested in is the assessment of foreign investors when participating in the market.

Comments (0)
  • Read More
Vietjet appoints new managing director

Vietjet appoints new managing director

Vietjet Aviation Joint Stock Company (HOSE: VJC) has appointed Nguyen Thanh Son as its new managing director, succeeding Dinh Viet Phuong.

Companies - Tue, July 8, 2025 | 8:10 am GMT+7

First turbine rotor installed at expanded Hoa Binh hydropower plant in northern Vietnam

First turbine rotor installed at expanded Hoa Binh hydropower plant in northern Vietnam

The rotor of the first turbine at the expanded Hoa Binh Hydropower Plant project was successfully installed on Sunday in Phu Tho province, formerly Hoa Binh province, northern Vietnam.

Companies - Tue, July 8, 2025 | 8:07 am GMT+7

Singapore heavily penalizes nine financial institutions for money laundering

Singapore heavily penalizes nine financial institutions for money laundering

The Monetary Authority of Singapore (MAS) has fined nine financial institutions SGD27.45 million ($21.55 million) for breaches related to the 2023 money laundering case involving more than SGD3 billion in assets.

Southeast Asia - Tue, July 8, 2025 | 7:58 am GMT+7

Japan's Granja Fujikura eyes developing large-scale, high-tech agriculture in Vietnam

Japan's Granja Fujikura eyes developing large-scale, high-tech agriculture in Vietnam

Granja Fujikura Group wishes to receive favorable conditions in Vietnam to develop large-scale, high-tech agriculture.

Economy - Mon, July 7, 2025 | 11:22 pm GMT+7

Vietnam's Maritime Bank plans 20% stock dividend payout

Vietnam's Maritime Bank plans 20% stock dividend payout

Vietnam Maritime Commercial Joint Stock Bank (MSB) plans to issue up to 520 million shares as stock dividends, equivalent to 20% of its outstanding shares at the record date.

Banking - Mon, July 7, 2025 | 5:30 pm GMT+7

Vietnam's shipping major Vinaship to pay first cash dividends after 14 years

Vietnam's shipping major Vinaship to pay first cash dividends after 14 years

Vinaship, a major shipping firm in Vietnam, plans to pay cash dividends for the first time in the past 14 years, at a total of approximately VND20.4 billion ($779,670).

Companies - Mon, July 7, 2025 | 4:36 pm GMT+7

Vietnam, Brazil eyes joint coffee exchange

Vietnam, Brazil eyes joint coffee exchange

Vietnam and Brazil will sign a food security agreement which includes plans to explore a joint coffee exchange and possibility of building a shared bilateral coffee brand.

Economy - Mon, July 7, 2025 | 4:02 pm GMT+7

Vietnamese property major Hoang Huy’s subsidiary plans new share issuance before HoSE listing

Vietnamese property major Hoang Huy’s subsidiary plans new share issuance before HoSE listing

CRV Real Estate Group JSC, a member of Vietnam's major property developer Hoang Huy Group, has approved a plan to issue an additional 16.81 million shares to existing shareholders at a 40:1 ratio and the price of VND26,000 ($1) per share.

Companies - Mon, July 7, 2025 | 2:29 pm GMT+7

Credit to drive Vietnam’s bank industry earnings in 2025: broker

Credit to drive Vietnam’s bank industry earnings in 2025: broker

The Vietnamese banking industry’s pre-tax profit could grow 18% in 2025 from the pervious year, driven by strong credit expansion, according to the Hanoi-based Vietcombank Securities (VCBS).

Banking - Mon, July 7, 2025 | 11:57 am GMT+7

Central Vietnam hub Danang lures strategic investors for int’l financial center

Central Vietnam hub Danang lures strategic investors for int’l financial center

More than 10 investors have expressed interest in the development of an international financial center in the central city of Danang.

Economy - Mon, July 7, 2025 | 9:56 am GMT+7

FDI firms most optimistic about Q3 business outlook in Vietnam: survey

FDI firms most optimistic about Q3 business outlook in Vietnam: survey

Up to 81% of foreign-invested enterprises in Vietnam forecast improved or stable business conditions in Q3/2025 as compared to Q2, according to a survey by the General Statistics Office (GSO) on business trends among manufacturing and processing companies.

Economy - Mon, July 7, 2025 | 8:46 am GMT+7

Listed Vietnamese companies almost not involved in 'transshipping': Dragon Capital

Listed Vietnamese companies almost not involved in 'transshipping': Dragon Capital

Only about 1.5% of the total revenue of Vietnamese companies listed on the Ho Chi Minh Stock Exchange (HoSE) comes from exports to the U.S., meaning "transshipping" is almost irrelevant, says Dragon Capital, a leading foreign-run asset management firm in Vietnam.

Economy - Sun, July 6, 2025 | 1:39 pm GMT+7

Indonesia maintains lowest debt ratio among G20 members

Indonesia maintains lowest debt ratio among G20 members

Indonesia’s external debt-to-GDP ratio stood at 30.6% in the first quarter of 2025, the lowest among the Group of Twenty (G20) comprising major developed and emerging economies, according to data from the Bank of Indonesia.

Southeast Asia - Sun, July 6, 2025 | 11:27 am GMT+7

Thailand's digital GDP expected to grow 6.2% this year

Thailand's digital GDP expected to grow 6.2% this year

The Digital Economy and Society (DES) Ministry of Thailand expects digital GDP this year to expand by 6.2% year-on-year, despite the potential impact of the U.S.'s reciprocal tariffs.

Southeast Asia - Sun, July 6, 2025 | 10:44 am GMT+7

Healthcare M&As surge in Vietnam on foreign capital inflows

Healthcare M&As surge in Vietnam on foreign capital inflows

Despite a global downturn in healthcare M&A activity, Vietnam’s market has witnessed major deals in the first half of 2025.

Finance - Sun, July 6, 2025 | 10:40 am GMT+7

Vietnam’s cement giant Vicem posts profit after 2 years of losses

Vietnam’s cement giant Vicem posts profit after 2 years of losses

After two consecutive years of losses, Vietnam Cement Industry Corporation (Vicem) has reported a consolidated after-tax profit of over VND34 billion ($1.3 million) in the first half of 2025.

Companies - Sun, July 6, 2025 | 8:00 am GMT+7