Daily Market Watch 30/07/2025: Strong Bottom-fishing Flows Drive Solid Market Rebound

MARKET HIGHLIGHTS

o       The market opened on a slightly positive note, retail investors calmed down from yesterday flash dropped as stock prices did not fall further and started rebounding. This translated in a bullish sentiment as a number of familiar stocks surged quite strongly thanks to bottom fishing activities. There were selling pressures at the end of the morning session as many retail investors believed that the correction is not over yet and wished to trim down their exposures. Several large cap names including VIC and VHM reversed from gains to losses. In the VN30 basket, 15 stocks fell by more than 2%. This raised some concerns among local investors.

o       Buying activity, however, accelerated in the afternoon as investor were more confident. Performance of most high beta stocks hiked considerably and that help boost sentiment quite well. Sellers yesterday quickly jumped in to buy back their positions. Many stocks regained their losses yesterday as they jumped to limit up, especially banking names. Out of the top 10 contributors to the VN-Index’s advance today, seven were bank stocks, all part of the VN30 group. The VN-Index closed up 14.22 points (+0.95%) to 1,507.63,

o       Market liquidity remained robust, with total trading value reaching USD 1.6 billion, underscoring strong capital inflows during this cycle. It’s lower than yesterday whooping liquidity as sellers were less aggressive, while a number of sellers also wait for a clearer trend to be more confident. The Index has increased for over 3 months, so 1 day correction may not be sufficient as many expected.

o       Notably, foreign investors returned to be net buyers throughout the session after selling in the last few days. They completed a net inflow of USD 64.9 million today, heavily concentrated in the financial sector. Top net buys included SHB (+USD 6.5 mn), VIX (+USD 4.7 mn), VNM (+USD 4.4 mn), VPB (+USD 3.8 mn), and CTG (+USD 3.9 mn). On the other hand, notable net sells were seen in VCI (−USD 3.4 mn), SSI (−USD 9.3 mn), FPT (−USD 4.5 mn), VCI (−USD 3.4mn), and VCB (−USD 3.1 mn).

o       Mid- and small-cap stocks continued to attract dip-buying interest, gaining 1.7% and 1.3% respectively. The VN30 index rose by a more modest 0.6%, held back by weakness in VIC, VHM, and VCB.