Daily Market Watch 26/01/2026: Broad Correction Amid Thin Liquidity, Negative Rumors Overshadow The Market

MARKET HIGHLIGHTS

o       The equity market was quiet in the morning and moved narrowly around the reference level. Retail investors were less active due to the absense of news. Besides, investors tend to trim down exposures to equity ahead of Lunar New Year due to the long market break. Selling pressures tend to increase, while the buy side is more hesitated. Most high beta, small/mid-cap, and stocks that are traded by local investors dropped as a result. The Index , however, only declined modestly in the morning session thanks to strong net buying by foreign investors, concentrated in large-cap stocks, particularly SOEs. Some key SOE stocks rebounded well after a consolidation last week, including  VCB (+3.35%), BID (+3.15%), and GAS (+6.94%). In contrast,  VIC (-3.33%) and VHM (-3.02%)  were the largest drags. The Index trended lower throughout the morning, pausing at 1,863.12 pts (-0.41%). Market breadth on the HoSE was weak, with 97 gainers versus 199 decliners.

o       Selling pressure intensified in the afternoon as retail investors turned increasingly risk-averse amid unverified rumors negatively impacting construction-related companies such as ACV, VCG, Newtecons, and Ricons, with ACV & VCG hitting the floor. These negative developments, combined with (1) low market liquidity, (2) elevated margin levels, (3) a sharp rise in the overnight rate to 5.65%, and (4) the upcoming long holiday, prompted widespread position unwinding. Declines broadened across the market, with the Industrials sector particularly hard hit, accounting for 5 of the 11 floor-limit stocks, alongside sharp drops of 3–7% in names such as GMD, VOS, GEX, VJC, and GEE. Panic sell was seen at the end.

o       The VN-Index closed down 27.07 points (-1.45%), a significant deterioration from the morning session. The decline was heavily driven by large-cap stocks, including  VIC (-3.33%), VHM (-2.94%), CTG (-2.05%), TCB (-2.33%), VPB (-2.63%), MBB (-3.15%), HPG (-1.68%), and FPT (-2.48%), all among the Top 10 constituents by market capitalization. These eight stocks alone accounted for more than 19 points of the total decline. Market breadth worsened further by the close, with 73 gainers vs. 264 decliners. Notably, the number of stocks falling more than 2% surged from 49 at midday to 136 by the close.

o       Market liquidity remained subdued. Total trading value reaching USD 1,234 mn, down 16.65% versus the prior week’s average. Foreign investors recorded net buying of USD 4.7 mn on the HoSE, snapping a four-session net selling streak. Net buying focused on BID (+USD 8.4 mn), VNM (+USD 7.1 mn), and VCI (+USD 5.7 mn), while net selling was seen in MWG (-USD 3.7 mn), DGC (-USD 4.1 mn), and VCB (-USD 7.5 mn).