Daily Market Watch 06/03/2026: The Market Declined Sharply Amid Escalating Macro Headwinds

MARKET HIGHLIGHTS

o       The equity market opened with continued sharp declines, breaking below the 1,800-point threshold as support from Vingroup-related stocks faded. The market corrected broadly, led by large-cap stocks, with Vingroup names and state-owned banks simultaneously retreating. Investor sentiment turned highly negative amid several adverse factors, including (1) unverified rumors of a potential 50 bps interest rate hike, (2) prolonged geopolitical tensions in the Middle East, (3) a continued surge in global oil prices which may potentially hit inflation, and (4) renewed pressures on the exchange rate. Global crude oil prices have risen 41% YTD to USD 81.4 per barrel, intensifying FX pressure. The DXY index has climbed to 100 since the conflict escalated, while the black-market USD/VND rate has surged to VND 26,900, creating a 2.56% gap versus the interbank rate.

o       Despite persistent foreign net selling throughout the morning session, domestic investors actively bought the dip, allowing the VN-Index to recover close to the reference level by midday. Bargain-hunting flows mainly concentrated in sectors expected to benefit in 2026, including securities brokerage, oil & gas, and construction. Speculation mainly focused on those stocks.

o       However, the market fell sharply again in the afternoon as foreign investors accelerated their selling activities. Large-cap stocks recorded the steepest losses amid heavy foreign outflows. Within the VN30 basket, 23 out of 30 stocks declined, with GVR, GAS, SSI, and VIC each dropping more than 5%. Intense selling pressure throughout the session, especially in the afternoon caused the VN-Index to plunge 2.25% (-40.67 points) at close. Many retail investors faced serious losses since the Iran war stormed out. A sell-off is easily triggered anytime the market turns weak. Market breadth remained highly negative, with 88 gainers versus 237 decliners. The number of declining stocks was 2.7 times higher than advancers, while 90 stocks closed with losses exceeding 2%.

o       Market liquidity dropped to USD 1.3 bn on HoSE today (-4.92% DoD). Foreign investors recorded their third consecutive day of net selling, totaling USD 50 mn on HoSE. The largest net selling was seen in FPT (-USD 22.2 mn), SSI (-USD 7.1 mn), and VIC (-USD 6.6 mn). Meanwhile, net buying was concentrated in BSR (+USD 6.2 mn), DCM (+USD 4.5 mn), and MWG (+USD 3.3 mn).