Daily Market Watch 17/10/2025: The Market Dropped 2.2% as Vingroup Stocks Corrected

MARKET HIGHLIGHTS

o       The market opened lower due to a sharp decline of large-cap stocks.Vingroup stocksafter a significant rally in the last 4 sessions were weakening which caused the Index to go down. Besides, other major recent gainers including Gelex related stocks also trended down. This raised concerns among retail investors as those stocks used to be the key market movers recently. The panic spread across the market, leading to the drop of many small/mid-cap stocks in the broad market. The VN-Index closed the morning down 0.77%. 

o       The panic became more aggressive in the afternoon as both Vingroup and Gelex stock groups plunged sharply. We heard several rumors on the political front. But basically retail investors just try to find a reason to explain such drop. Technically, those names have rallied strongly in both short term and YTD, thus a strong pull back may appear from time to time. Banking stocks also retreated due to the sell off of retail investors. The Index went down further in the afternoon as a result, without any visible effort to recover. It declined 2.02% at close with a rather negative market breadth: 236 decliners vs 96 advancers.

o       Many large-cap stocks decreased strongly including  VIC (-4.27%), VHM (-4.92%)VRE (-5.5%), VPL (-3.78%), VCB (-1.59%), TCB (-1.45%), CTG (-2.97%), BID (-1.6%), and VPB (-3.77%). The large-cap VN30 Index, therefore, plunged 2.3% and underperformed the market. Small/mid-cap basket outperformed. Many stocks have corrected strongly recently, thus they did not really reacted to the decline today.   

o       Q3 2025 corporate earnings continued to be released. We see encouraging growth in many sectors, including banking, brokerage, property, industrial, etc. Significant financial gains appeared in several companies though. Stock prices, however, did not factor in the upbeat earnings release today due to the negative environment in the broad market.  

o       Market liquidity stayed elevated with total trading value reaching USD 1.54 bn (-0.6% DoD).Sellers were rather active today. Most were cautious and wanted to bring down exposures to equities as large-cap stocks went down. While buyers were hesitated. We did not see a strong buying demand even at lower prices. That's why there was almost no rebound today. 

o       Foreign investors recorded strong net selling of USD 75.5 mn, bringing their total net outflows on HoSE to USD -580 mn month-to-date. Today’s outflows were mainly driven by a block trade in VSH (-USD 38.5 mn), followed by net selling in VRE (-USD 7.1 mn), SSI (-USD 6.5 mn), and VCI (-USD 6.4 mn). On the buy side, inflows focused on VHM (+USD 7.6 mn), VJC (+USD 4.6 mn), and DXG (+USD 4.5 mn).