The Ho Chi Minh Stock Exchange (HoSE) witnessed a significant decline during the afternoon session, with the VN-Index falling below the reference level due to strong pressure from blue-chip stocks. However, bottom-fishing activities became more active at lower price levels, helping many stocks to recover. The downside was that the liquidity was not well-spread, dragging today’s trading volume to a 14-session low.
Contrary to expectations of a better performance in the afternoon session, selling pressure intensified after the midday break, pushing the VN-Index into negative territory just 40 minutes into the session. The breadth reversed from the morning session, indicating that selling strength was present in a large number of stocks and not just focused on a few pillars. The index hit its intraday low at 2:20 pm, falling nearly 6 points before a late rebound. At the close, the VN-Index posted a slight loss of 0.67 points, finding a balance with a relatively even breadth.
The index’s failure to recover above the reference level was due to the continued weakness in the largest pillar stocks. Among the top 10 stocks by market capitalization on the VN-Index, VCB fell 0.33%, BID declined 0.3%, VHM lost 0.72%, GAS decreased by 0.55%, and VIC fell by 0.37%. Only four stocks posted modest gains: CTG rose 0.56%, TCB increased by 0.42%, and HPG gained 0.76%.
In reality, the pillars weren’t performing too poorly, as the vast majority closed above their intraday lows, but the recovery margin was not significant. Some stocks, such as VHM, HPG, and TCB, witnessed high liquidity during the ATC session, but it wasn’t enough to significantly impact their prices. The index remains heavily dependent on the ability of these pillar stocks to provide support. The difference of more than 5 points between the VN-Index and its intraday low is within the normal range of fluctuations.
However, individual stocks showed signs of improvement, with many balancing before the index. The breadth on the HoSE at the close showed 170 gainers and 202 losers, an improvement from 122 gainers and 255 losers when the index hit its intraday low. Notably, a significant number of stocks were lifted by bottom-fishing activities, with nearly 32% of HoSE-listed stocks rebounding by 1% or more at the close, a much higher proportion than in the morning session. This was partly due to the deeper declines in the afternoon, which triggered more decisive bottom-fishing purchases.
Securities stocks stood out during the afternoon session, with blue-chip stocks leading the way: VCI surged 3.72%, FTS gained 2.26%, HCM rose 2.13%, VND increased by 2.05%, and SSI climbed 1%. These stocks witnessed a surprising surge in buying interest compared to intraday levels. VCI, for instance, saw millions of shares bought at the ATC session, and HCM also matched over one million shares during this period. Smaller securities stocks witnessed even stronger gains: ORS rose 3.83%, CSI increased by 2.36%, DSC climbed 2.22%, and VDS gained 2.05%… In terms of liquidity, VCI, SSI, and HCM were among the top 10 most traded stocks on the HoSE.
Thanks to the afternoon plunge, liquidity on the two exchanges increased by nearly 47% compared to the morning session, reaching VND6,861 billion. However, this figure is still relatively small compared to the two-week average, where afternoon sessions recorded over VND9,388 billion per day. This indicates that inflows remain limited, and investors are primarily bottom-fishing at lower price levels and waiting. Only a small number of stocks, such as those in the securities sector, managed to attract better inflows and reverse their trends.
On a positive note, the market witnessed better differentiation towards the end of the session, despite the index’s apparent weakness. Among the 170 gainers, 64 stocks rose more than 1%, slightly higher than the morning session (58 stocks) even though the breadth was better then. On the losing side, out of the 202 losers, 52 stocks fell by more than 1%, also slightly higher than the morning session (40 stocks). Some stocks faced strong selling pressure, including VNM, which fell 2.04% with a matching value of VND405.5 billion; MSN, which declined 1.06% with a matching value of VND309.8 billion; HDB, which lost 1.65% with a matching value of VND254.7 billion; GEX, which decreased by 1.42% with a matching value of VND161.5 billion; and OCB, which fell 1.95% with a matching value of VND102.8 billion…
Foreign investors also increased their selling pressure in the afternoon, with net selling on the HoSE reaching VND810.2 billion, double that of the morning session. The net selling value rose to VND214.6 billion, bringing the total net selling for the session to VND337.7 billion. This was the second consecutive session of significant net selling by this group. Notable stocks that were net sold included VPB (VND93.7 billion), HDB (VND87.8 billion), VCG (VND41.4 billion), OCB (VND32.3 billion), GEX (VND31.1 billion), FPT (VND24.5 billion), and PLX (VND21.2 billion). On the net buying side, STB (VND63.6 billion), TCB (VND40.1 billion), MWG (VND33.5 billion), EIB (VND22.1 billion), and FRT (VND21.7 billion) stood out.
