Daily Market Watch 19/08/2026: The Market Traded Lower Due To The Absence of Catalyst / POW 2Q26 Update (Buy +44.2%)

MARKET HIGHLIGHTS

o      The market opened lower as buying interest remained muted. Blue chips started slightly higher but soon retreated as selling pressure mounted on thin liquidity. All three SOE banks slipped 1-2% under heavy foreign selling. Many may still have concerns over NIM compression of banks due to the instruction of the SBV to lower lending interest rate. Profit-taking also emerged in SOE related stocks after their recent run-up on divestment expectations. GVR and BSR gave back 1-2% after rallying nearly 20% since late July. VIC, VHM, TCB, and VPB also traded relatively lower. Weakness broadened across the market as mid- and small-cap stocks lagged blue chips by 1-2%. The VN-Index lost 0.46%  by the mid-day break. Market breadth was quite negative at 80 gainers versus 212 decliners, including 92 stocks down more than 1%.

o    Several mid-cap names managed to perform well though. PNJ surged 3% after Vanguard International Value Fund added approximately 1.63mn shares and increased its stake to 25.81mn shares or 5.04%. DGW also jumped 3% on strong foreign buying. The stock had been rallying quite well after releasing solid Q2 results thanks to the increase of selling prices. Construction names found some support after the Government proposed merging the State Budget Law and Public Investment Law into a single framework to streamline public financial management and remove overlapping procedures. It would fold medium-term public investment plans into five-year financial plans and combine annual investment plans with annual budget estimates. The framework would also give the Government and local authorities more flexibility in fund allocation, management, and carryovers. VGC, CII, and CTD posted moderate gains of around 1-2% as a result.

o      Selling pressure intensified in the afternoon and spread across the mid-cap basket. High beta stocks tumbled as local investors continued to trim positions.  GEE (-4.42%), GEX (-1.20%), VCG (-1.90%), DIG (-1.89%) and TCH (-1.69%) traded lower. Property stocks also retreated after the Government proposed tax and financial measures to curb land speculation and prolonged land hoarding. Projects with delayed land use could face progressive charges and eventual land recovery. NVL, KDH and PDR lost 1-2%. Most other mid-cap names also ended in negative territory.

o    Several blue chips staged a recovery toward the close, leaving the VN-Index down 0.31%. Breadth improved but remained tilted toward decliners at 97 gainers versus 220 decliners. VIC recovered to the reference price while VHM narrowed its loss to 0.1%. VNM attracted +USD 2.4mn of overseas buying and advanced 1.61%. The stock was also bought by Vanguard according to its recent filling. This helped limit the decline in the VN30 Index to 0.02%. The VNMID Index and VNSML Index slipped 0.5% and 0.4%, respectively, as selling pressure intensified across mid-cap names.

o      Market activity has been muted since the start of the week. Total trading value on HOSE edged up 1% to USD 574mn. Overseas investors extended their net selling streak to the fifth consecutive sessions at -USD 27mn. VIC saw the largest outflow at -USD 5.2mn, followed by private banks STB (-USD 4.7mn) and VPB (-USD 3.8mn). Buying activity was concentrated in VNM (+USD 2.4mn), DGW (+USD 1.8mn), and FRT (+USD 1.3mn).