Vietnam Daily Market Recap Feb 06

Stocks drop, led by state-owned companies

The VN-Index opened lower on Friday and traded in negative territory throughout the session, closing down 1.5% at 1,755.5. Market liquidity surged from yesterday’s low base, with total trading value increasing 36.0% DoD to VND35.27n (USD1.4bn). The HNX Index followed the same pattern as the VN-Index, plunging 2.6% to close at 256.3.
For the week, the VN-Index declined 4.0%, as overnight interbank interest rates spiked to a multi-year high of ~17% before easing slightly and stabilizing at an elevated 9–10%. The spike reflected liquidity strains driven by heightened payment demand from businesses and households ahead of the Lunar New Year, further exacerbated by the effects of new tax policies. This sharp volatility weighed on investor sentiment, as the sustained pressure on system liquidity raised concerns about a potential further increase in lending rates for the broader economy.
Most sectors fell today, with decliners led by Telecommunications (-5.7%), Basic Resources (-3.8%) and Retail (-3.0%), while only Utilities (+0.7%) advanced today.
Top laggards today included VCB (-4.8%), CTG (-3.1%) and GAS (-2.7%), while top performers included GAS (+2.7%), VIC (+0.7%) and GEL (+20.0%).
Foreign investors net sold today, with a total value of VND920bn (USD35.3mn), with selling momentum heavily focused on VCB (VND611bn, USD25.6mn), VIC (VND314bn, USD12.1mn) and HDB (VND195bn, USD7.5mn), while foreign investors mainly bought MBB (VND440bn, USD17.0mn), HPG (VND198bn, USD7.6mn), and STB (VND154bn, USD5.9mn).

Read the full report: HERE