Daily Market Watch 23/07/2025: Market Gains Extend, Midcaps Attract Strong Inflows

MARKET HIGHLIGHTS

o        Tariff developments between the United States and Vietnam’s competing nations are gradually being revealed. Japan has agreed to a 15% tariff, the Philippines to 19%, Malaysia is aiming for around 20%, and Thailand has announced that it is close to reaching a deal with the U.S. The general trend for countries with successful negotiations suggests tariffs in the range of 15–20%, particularly 18–20% for Southeast Asian nations. This indicates that Vietnam continues to maintain its competitive position in the global market.

o        The market opened positively in the morning session with a wave of stocks hitting their ceiling prices early on. However, as the session progressed, VN-Index faced increasing profit-taking pressure, especially on large-cap stocks, driven by both domestic and foreign investors. Several large-cap stocks reversed from gains to sharp declines, while some early ceiling gainers were forced down to just 2–3% gains. In the morning session alone, foreign investors recorded a net sell value of VND 630 billion.

o        A notable shift in cash flow from large-cap to mid- and small-cap stocks was observed, with both foreign and retail investors actively trading. While the VN30 index declined by 0.18%, the VNMID rose 1.4% and the VNSML gained 0.7%. This indicates that after a period of strong gains, investors have started rotating into mid- and small-cap stocks with expectations of stronger upside.

o        Despite significant drag from the Vingroup-related stocks, the market closed on a positive note thanks to solid support from the mid-cap segment. The VN-Index rose 2.77 points (+0.18%) to end at 1,512.31, with 203 advancers and 120 decliners. The market remains focused on key catalysts including (1) Market upgrade prospects and (2) Improving domestic fundamentals. Key sectors attracting strong inflows include (1) Industrials, (2) Securities, and (3) Real Estate.