VN-Index plunges to below 1,200 points, hits 4-week low 

Vietnam’s benchmark VN-Index fell 19.7 points, or 1.62%, to 1,193.05 on Friday, the lowest since August 25, due to massive selloffs.

The trading value on the Ho Chi Minh Stock Exchange (HoSE), represented by the index, surged 40% from the previous session to VND32.33 trillion ($1.33 billion), marking the highest level in one month. The major bourse saw up to 445 losers and only 70 gainers.

The VN30-Index, which tracks the performance of 30 largest cap stocks, lost 21.5 points to 1,197.69, with 26 tickers falling.

Rumors on the resignation of a HoSE executive activiated massive selloffs in the market. After that, the bourse denied the rumors and confirmed that a trading system provided by the Korea Exchange (KRX) will still be tested as planned.

The securities group showed the worst performance with 13 stocks hitting their floor prices, including VND of VNDirect Securities, VIX of VIX Securities, HCM of Ho Chi Minh City Securities, and FTS of FPT Securities. SSI of Saigon Securities closed down 6.2% with a trading value of VND2.3 trillion (94.37 million), the highest in the market.

Real estate stocks also suffered strong selling pressure as most of them plummeted, such as VHM of giant Vinhomes, down 4.38%, VIC of Vingroup 4.21%, NVL of Novaland 4.4%, PDR of Phat Dat Real Estate Development Corp 6.67%, and NLG of Nam Long 5.11%. Notably, DIG of DIG Corp, DXG of Dat Xanh Group, DXS of Dat Xanh Services, and DPG of Dat Phuong Group hit their floor prices.

The banking group became the main support for the market when VCB of Vietcombank increased 2.64%, BID of BIDV 1.88%, STB of Sacombank 1.7%, and EIB of Eximbank 0.51%.

Foreign investors were net sellers for the fifth straight session on the HoSE to the tune of VND180 billion ($7.38 million). They mainly net sold VIC, MSN of Masan Group, and MWG of Mobile World.

The HNX-Index on the Hanoi Stock Exchange, where mid and small caps list, plunged 3.46% to 243.15 points, while the UPCoM-Index on the Unlisted Public Companies Market fell 1.76% to 90.76.

The Vietnamse stock market experienced strong corrections during the September 18-22 week with four sharp falling sessions and only one gaining on September 20.