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๐Ÿ‡ป๐Ÿ‡ณ Vietnam /Economy & Trade

VN-Index Nears 1,850 Points as Trading Liquidity Remains Weak

From Tuแป•i Trแบป · () Vietnamese

Translated from Vietnamese and summarized by DistantNews. Read the original for the full story.

At a glance

Analysis Named sources Context piece
  • The VN-Index rose 0.48% to 1,830.44 points on Sept. 8, recovering part of the previous session's loss, but gains relied heavily on a few large-cap stocks.
  • Analysts said weak market breadth and a 20.9% drop in HOSE matched trading value reflected continued investor caution.
  • Securities firms expect the index to test 1,850 to 1,860 points, though a rise without stronger liquidity could lead to a retreat toward 1,800 points.

The VN-Index is approaching the 1,850-point threshold, but its latest rebound has done little to ease concerns about the market's underlying strength. The index rose 8.80 points, or 0.48%, to 1,830.44 on Sept. 8, recovering only part of the 31.44-point drop recorded in the previous session.

Phan Quoc Buu, director of BIDV Securities' analysis center, said the increase represented a technical rebound after a falling session. Investor caution, he said, had not fundamentally changed. VIC, GAS and BSR together contributed 8.9 points to the index's rise, more than the overall increase, with VIC alone accounting for 7.4 points.

That dependence on a handful of leading stocks left the market's advance with limited breadth and made its next move harder to predict. HOSE matched trading value also fell 20.9% from the previous session. Bao Viet Securities said the index closed at the day's high with a long lower shadow, suggesting buyers had responded fairly well around support, but noted that liquidity remained below its 20-session average.

Money flowed more positively into oil and gas, transport, and chemicals, helped by a sharp rise in oil prices and rebounds in stocks that had fallen heavily the day before. ASEAN Securities also saw improvement in oil and gas and fertilizer and chemical stocks, while real estate, port, and seafood shares faced adjustment pressure. Foreign investors recorded net sales of 399 billion dong on HOSE, concentrated in VCB, VPB and DXG.

For the Sept. 9 session, ASEAN Securities expected the index to test resistance at 1,850 to 1,860 points after holding above its 10- and 20-session moving averages. Vietcombank Securities also favored a recovery scenario after the index found support around 1,815 points. Bao Viet Securities, however, warned that without stronger liquidity, the move would remain a technical rebound and could be followed by a decline toward support at 1,800 to 1,820 points. Buu took the more cautious view, saying the market could still face downward pressure as the index moves through a corrective fourth wave in a smaller Elliott wave pattern.

The VN-Index is still only staging a technical rebound after a declining session, and overall caution has not changed.

· Phan Quoc BuuThe BIDV Securities analyst assessed the index's latest rise.
About this summary

Originally published by Tuแป•i Trแบป in Vietnamese. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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