Daily Market Watch 04/08/2025: The VN-Index Breaks 1,500 Resistance; Retail Investors Believe Adjustment Phase is Over

MARKET HIGHLIGHTS

o       The VN-Index opened with a bullish momentum and steady gain as retail investors were more confident. Several large cap stocks increased aggressively and contributed well to the gain of the Index. This helped strengthen sentiment among retail investors. The Index quickly broke through the 1,500-resistance level as a result. We observed many local investors believed that the consolidation phase of the market is completed. Many quickly returned to buy and build up positions for another round of rally. This triggered stock price increase across the board. The Index rallied stronger toward the end of the day thanks to the confidence of retail investors and closed up 32.98 points (+2.21%).

o       Top five contributors were all large-cap, including VIC (+6.92%, limit up), VHM (+2.56%), TCB (+3.67%), VCB (+1.50%), and CTG (+3.05%). They collectively added 14.2 points, nearly half of the total increase. The VN30 Index outperformed with 2.4% gain, followed by mid-cap (+1.7%) and small-cap (+1%) baskets. Notably, 23 out of 30 VN30 stocks gained over 1%, with 16 rising more than 2%. Ceiling gainers included VJC, SHB, VIC, and TPB. Interestingly, FPT (-0.37%) is the only stock with negative return due to consistent foreign outflow.

o       The rally was quite broader based. We saw gains in most key sectors including Real estate, Financials, Industrials, Utilities, etc. Export stocks also did well after the customs office release Vietnam’s 7-month total export turnover at USD 261.8 bn, up 14.6% YoY, exceeding the government’s export growth target.

o       Market liquidity declined compared to recent sessions. Matched orders on the HoSE dropped 15% from the previous day to USD 1.19 bn (excluding VIC’s block trade), the lowest in 13 sessions. This indicates sellers were less agressive as investors were more bullish. After the closing session, a massive block trade in VIC by foreign investors to local accounts was recorded (90m shares at VND109.1k/s), bringing total net outflows to over USD 382 mn. Excluding this, foreign net selling was only around USD 12 mn today.