What caused the VN-Index to drop 52 points on December 12th?

The VN-Index recorded its sharpest decline in nearly three months, losing more than 52 points on December 12th.

VN-Index fell 52 points on December 12 - Photo: HUU HANH

At the close of trading on December 12th, the Vietnamese stock market experienced a sharp correction, with the VN-Index falling 52 points (3.06%) to nearly 1,647 points. This was the fourth consecutive day of decline, bringing the total correction of the index to nearly 100 points.

Overall, red dominated both exchanges, with nearly 600 stocks falling, completely overwhelming the number of gainers. On the HoSE, 296 stocks declined, including 31 that hit the floor limit, notably VHM, VPL, VRE, DXG, NVL, DIG, and CII.

The VN30 group also plummeted, with only BCM maintaining its positive performance. Meanwhile, QCG of Quoc Cuong Gia Lai continued its third consecutive day of hitting the ceiling price, reaching 17,600 VND/share with over 6.6 million units traded.

The top 10 stocks that dragged the VN-Index down the most included VHM, VPB, VPL, TCB, VIC, MBB, VCB, HDB, MWG, and GVR. Meanwhile, PNJ, BMP, and QCG remained bright spots, maintaining their positive performance.

10 stocks that impacted the VN-Index on December 12th - Source: WiChart

Foreign investors continued to net sell nearly 600 billion VND, focusing on VIC, VCB,ACB , VPB, STB, and MSN. The flow of money was limited by pressure from large-cap stocks in the Vingroup, banking, retail, and technology sectors. Bottom-buying remained cautious, liquidity stayed low, and the trading value on the HoSE only reached approximately 22,000 billion VND.

On the morning of December 12th, the VN-Index opened in positive territory, but quickly reversed course and fell below the reference level. In the afternoon, strong selling pressure caused the index to plummet several times, at one point dropping more than 60 points, before narrowing its losses and closing the session down 52 points.

According to Mr. Bui Van Huy, Director of Investment Research at FIDT, there are many reasons for the market decline. However, one of the main reasons for the sharp market correction is concern about rising interest rates, especially affecting the real estate sector, one of the most sensitive sectors to the cost of capital.

Mr. Huy noted that the downward trend was not unique to today's session, but had been ongoing for several previous sessions. The phenomenon of "green on the outside, red underneath" (referring to a mixed market performance) persisted for many sessions, with some large-cap stocks like VIC and VHM maintaining their upward momentum, but the overall market lacked consensus. This reflects the divergence in investment flows and low liquidity, especially towards the end of the year.

Regarding future trends, he believes the correction may continue, with the VN-Index potentially fluctuating around the 1,600-1,550 point range. However, he also noted the positive aspect that many stock groups had already bottomed out and fallen significantly beforehand, so the index's decline does not fully reflect the market's health.

In addition, market sentiment was partly affected by recent IPOs, such as VPBankS (VPX) and Techcombank Securities (TCX), where share prices failed to meet expectations, triggering a wave of sell-offs that impacted overall sentiment.

According to experts from Vietcombank (VCBS), in the context of a highly volatile market, investors should prioritize risk management and closely monitor developments to react promptly. They should also review their portfolios and restructure positions that have reached stop-loss levels.

Besides preserving purchasing power, investors can look for stocks that have already bottomed out relative to the overall index and are in a "rejection of further decline" state, ready to disburse funds when the market shows signs of recovery, serving the goal of short-term trading. In today's session, some sectors noted by experts include banking, securities, and steel.

Back to the topic

Nhat Quang

Source: https://tuoitre.vn/dieu-gi-khien-vn-index-giam-52-diem-phien-12-12-20251212172548603.htm