Daily Market Watch 15/07/2025: Market Pulls Back Late as Investors Lock in Gains

MARKET HIGHLIGHTS

o        The VN-Index opened on a positive note, continuing its upward momentum in the morning session. Strong buying interest from local investors, particularly in select mid-cap and large-cap stocks, helped lift prices and sustain market excitement. Foreign investors also maintained their net-buying position, contributing to improved sentiment among retail participants. However, profit-taking pressure remained consistent as recent gains have been substantial. While many investors anticipated a near-term pullback, bullish sentiment remained dominant through the morning and early afternoon.

o        Market dynamics shifted in the final 30 minutes of trading, with sharp selling pressure emerging. Broad-based profit-taking accelerated, dragging down prices across multiple sectors. The decline was amplified by weakening performance in key large-cap names such as VCB, VIC, VHM, BID, and CTG, which lost momentum and traded within tight ranges or slightly lower. This triggered panic among retail investors, leading to increased sell-offs and a rapid decline that extended into the closing session.

o        The VN-Index closed down 0.66%, marking a broad-based retreat as retail investors actively reduced their equity exposure. Market breadth turned negative with 136 gainers versus 190 losers. The correction was most pronounced in the VN30 basket, where only 5 stocks gained while 25 declined.

o        We view today’s move as a normal pullback following a strong rally in large-cap stocks. The VN30 Index has risen 7.85% over the past six sessions, 14.6% over the past month, and 37.4% over the past three months—recovering strongly from previous tariff-related market dips. The current correction appears to be driven more by short-term profit-taking than a shift in fundamentals.

o        Market liquidity improved significantly, with total trading value increasing by 9.9% to USD 1.319 billion. The heightened activity was driven by both speculative buying and profit-taking among retail investors. Foreign investors remained net buyers with a net inflow of USD 42.9m. Major foreign inflows were directed toward high-beta stocks including SSI (+USD 9.5m), DXG (+USD 7.8m), GEX (+USD 6.5m), while net selling was recorded in GMD (-USD 3.6m), VCI (-USD 3.0m), TCH (-USD 2.8m).