Vietnam stock market on a sideways trajectory

By Khanh An
Sun, March 26, 2023 | 7:36 pm GMT+7

The Vietnamese stock market appears to have turned stagnant, with low liquidity and no short-term prospects of attracting new buyers.

The VN-Index is forecast to be flat in the short term. Photo by The Investor/Gia Huy.

The VN-Index is forecast to be flat in the short term. Photo by The Investor/Gia Huy.

Vietnam’s benchmark VN-Index, which represents the Ho Chi Minh Stock Exchange (HoSE), dropped to 1,023 points on Monday from 1,042.6 points at the end of last week, and then recovered gradually in the following sessions. It closed the week at 1,046.8 points, a slight increase of 0.16% from the previous Friday.

On the Hanoi Stock Exchange, the HNX-Index increased by 1.25 points, or 0.61%, against the previous Friday.

This week, MSN of Masan Group, BID of major bank BIDV, SAB of Saigon Beverages Co., and GAS of gas company PV Gas had the most negative impacts on the VN-Index. MSN alone fell more than 1.9 points.

On the other side, VHM, VPB and KDC of real estate firm Vinhomes, VPBank, and KDC of food producer Kinh Do had the most positive influence.

Foreign investors increased their transactions with a net buying value of VND384.32 billion ($16.34 million).

The market gained very slightly this week, but SHS Securities is of the view that the market will not return to a short-term uptrend period.

The firm said it believes this is understandable because after a strong downtrend, the market has experienced a period of technical recovery from the beginning of the year and is moving towards a balance.

"Over the past six weeks, the VN-Index has changed very little and trading volume has fallen. These are typical signals of an accumulation process. The period of movements in a narrow range with low volumes like now may continue until the market forms a new uptrend," SHS said.

Vietcombank Securities argues that in the current situation, investors should closely observe the market in the range of 1,035-1,040 points. If there is some good accumulation and the cash flow increases again, they may consider buying stocks showing double-bottom signals in industries like oil and gas, securities, and real estate, but caution is also needed.

According to MBBank Securities, the market is likely to remain flat for another week. Technically, the area of 1,050 points could be a resistance zone in this technical recovery period, it noted.

Comments (0)
  • Read More
Latvian man sentenced in Vietnam for operating loan shark ring with 1,380% interest rate

Latvian man sentenced in Vietnam for operating loan shark ring with 1,380% interest rate

Aigars Plivěs, a Latvian national, on Monday was sentenced to two years and nine months in prison for operating three companies that offered loans with high interest rates of 401-1,379.7% per year, earning illicit gains of more than VND4.15 trillion ($163 million).

Society - Wed, December 18, 2024 | 10:37 pm GMT+7

April Tea Shop to close down amid F&B sector woes

April Tea Shop to close down amid F&B sector woes

The Tiem tra thang 4 (April Tea Shop), a popular check-in and beverage destination for young people in Ho Chi Minh City, has announced it will shut down on December 25, ending a five-year journey.

Companies - Wed, December 18, 2024 | 9:56 pm GMT+7

New tourism trends seen in Thailand

New tourism trends seen in Thailand

Thailand is gearing up to attract more luxury and high-spending travellers in a bid to stimulate post-pandemic expenditure.

Southeast Asia - Wed, December 18, 2024 | 9:37 pm GMT+7

Thailand to allow more foreign workers in business

Thailand to allow more foreign workers in business

The Thai cabinet has approved in principle increasing the number of foreign workers at businesses to deal with labour shortage, according to Thai government spokesman Jirayu Huangsab.

Southeast Asia - Wed, December 18, 2024 | 9:25 pm GMT+7

Indonesia to build first nuclear power plant

Indonesia to build first nuclear power plant

Indonesia is planning to build its first nuclear power plant on Kelasa island in Bangka Belitung province.

Southeast Asia - Wed, December 18, 2024 | 9:18 pm GMT+7

Thailand announces research and innovation direction for 2025

Thailand announces research and innovation direction for 2025

The recent “Research X Innovation 2025” conference examined global trends and announced Thailand’s research and innovation direction for 2025.

Southeast Asia - Wed, December 18, 2024 | 8:49 pm GMT+7

Malaysia eyes to become ASEAN’s next-generation vehicle hub

Malaysia eyes to become ASEAN’s next-generation vehicle hub

The Malaysian Investment Development Authority (MIDA) has partnered with DRB-Hicom Bhd and Zhejiang Geely Holding Group Co. Ltd. to develop the Automotive Hi-Tech Valley (AHTV) in Tanjung Malim, Perak, with a goal of turning the country into ASEAN’s hub for next-generation vehicles (NxGV) and energy-efficient vehicles.

Southeast Asia - Wed, December 18, 2024 | 8:46 pm GMT+7

Thai IP developer Amata eyes clean energy cooperation with northern Vietnam province

Thai IP developer Amata eyes clean energy cooperation with northern Vietnam province

Amata Group of Thailand on Wednesday recommended the northern province of Quang Ninh foster cooperation in clean energy development in the time to come.

Investing - Wed, December 18, 2024 | 4:54 pm GMT+7

Czech's Sev.en Global Investments to make Europe's largest energy investment in Vietnam

Czech's Sev.en Global Investments to make Europe's largest energy investment in Vietnam

Czech-based Sev.en Global Investments, a multi-sector business, will expand its footprint to Asia, with Vietnam as a key market, the firm announced Wednesday.

Energy - Wed, December 18, 2024 | 3:43 pm GMT+7

Vietnam's Mekong Delta has immense opportunities for herbal-based medicine development: exec

Vietnam's Mekong Delta has immense opportunities for herbal-based medicine development: exec

The government should prioritize planning for designated growing areas and support product promotion to advance the development of products derived from medicinal herbs, said Pham Thi Xuan Huong, general director of OPC Pharmaceutical JSC.

Companies - Wed, December 18, 2024 | 2:15 pm GMT+7

Petrovietnam seeks WB support in offshore wind energy

Petrovietnam seeks WB support in offshore wind energy

State-owned Petrovietnam has called on the World Bank to provide support, including capital, to help with green energy projects, especially offshore wind power.

Energy - Wed, December 18, 2024 | 1:36 pm GMT+7

Masan High-Tech Materials exits its downstream business H.C. Starck

Masan High-Tech Materials exits its downstream business H.C. Starck

Vietnam's Masan High-Tech Materials on Wednesday announced the successful closing of the sale of 100% of H.C. Starck Holding (Germany) GmbH to Mitsubishi Materials Corporation Group.

Companies - Wed, December 18, 2024 | 1:24 pm GMT+7

New stock trading system KRX must come on stream in 2025: regulator

New stock trading system KRX must come on stream in 2025: regulator

The State Securities Commission (SSC) of Vietnam has demanded stock exchanges and related entities to launch the new stock trading system KRX in 2025.

Finance - Wed, December 18, 2024 | 11:40 am GMT+7

Hong Kong-invested battery maker GPPD raises Vietnam investment to $35 mln

Hong Kong-invested battery maker GPPD raises Vietnam investment to $35 mln

Singapore-incorporated GPPD Pte. Ltd., a subsidiary of Hong Kong-based Gold Peak Technology Group Limited, has increased its investment in Vietnam’s southern province of Binh Phuoc to $34.6 million.

Industries - Wed, December 18, 2024 | 11:17 am GMT+7

Vietnam interest rate unlikely to fall further: experts

Vietnam interest rate unlikely to fall further: experts

Interest rates in Vietnam are unlikely to decrease further and may even rise slightly in the near future, according to Pham The Anh, chief economist at the Vietnam Economic and Strategy Research Center (VESS).

Economy - Wed, December 18, 2024 | 10:04 am GMT+7

Vietnam an important partner of Guangdong-Hong Kong-Macao Greater Bay area: Sunwah Group chairman

Vietnam an important partner of Guangdong-Hong Kong-Macao Greater Bay area: Sunwah Group chairman

Through Hong Kong, an international financial center, Vietnamese businesses can more easily and effectively access the Guangdong-Hong Kong-Macao Greater Bay, says Sunwah Group chairman Jonathan Choi.

Economy - Wed, December 18, 2024 | 8:17 am GMT+7