Cash flow disappears, stocks are quiet before the September 2 holiday

Stock market increased in the last session of the week - Photo: QUANG DINH

Opening the market this morning, VN-Index recorded a slight increase. At the end of the morning session, the index representing the HoSE increased slightly by more than 2 points to 1,284 points.

Active buying and selling power is balanced and at a low level. Market liquidity continues to decline compared to yesterday. By 11am, liquidity had only reached about 4,200 billion VND.

In the afternoon session, the market continued to fluctuate. Market breadth was uncertain, and industry groups were differentiated with slight fluctuations.

Statistics show that the price increase of codes TCB of Techcombank, FPT, HVN of Vietnam Airlines , VCB of Vietcombank, HDB of HDBank, MWG of Mobile World contributed positively to the overall increase of the market.

On the contrary, BIDV 's BID, Hoa Phat's HPG, Masan's MSN, DIC Group's DIG, SSI... were among the groups that pulled down the index.

Market breadth at the end of the session was still "tug of war", with 391 stocks increasing in price, counterbalancing 322 stocks decreasing in price. All 3 floors had 834 stocks remaining unchanged.

Cash flow into stocks decreased sharply. Total transaction value reached only over 15,000 billion VND on all 3 floors. At the end of the weekend trading session, VN-Index increased slightly by 2.4 points, reaching 1,283 points.

Another positive point is that foreign investors returned to net buying slightly (+17 billion VND) after 7 consecutive net selling sessions recently.

According to the announcement of the exchanges, the trading break will be from Saturday, August 31 to Tuesday, September 3. Trading will resume from Wednesday, September 4.

Speaking to Tuoi Tre Online , Ms. Tran Thi Khanh Hien - Director of Analysis of MB Securities (MBS) - said that the liquidity of the stock market is often affected before long holidays. In addition, the VN-Index is approaching the strong resistance level of 1,300, while the market is lacking supporting information.

Meanwhile, Mr. Nguyen The Minh - Director of Analysis at Yuanta Securities Company - commented that the stock market will have a chance to surpass the 1,300-point mark after the holiday. Before the holiday, the cash flow was dispersed, making it difficult to surpass this mark again.

Regarding the trend of foreign investors, Mr. Minh said that they are still net sellers but mainly sell stocks for reasons internal to the business. "The exchange rate has cooled down. The reason for selling is because the exchange rate is no longer high," Mr. Minh said.

However, Mr. Minh also said that a sharp drop in the exchange rate is not necessarily good for foreign investors. In general, foreign investors always need stability in the exchange rate, instead of strong fluctuations. Because stability helps them have a clear investment plan and control risks.

When foreign investors return to net buying, Mr. Minh predicts that the market will have more momentum to increase prices, surpassing important milestones such as 1,300.

Foreign investors are not the group that decides the market's rise, because at many times the VN-Index still increases well despite this group's strong net selling. However, Mr. Minh believes that their increased buying can better stimulate domestic cash flow.

With the Fed lowering interest rates next September, Mr. Minh expects this group to disburse better into the Vietnamese market.

Source: https://tuoitre.vn/dong-tien-mat-hut-chung-khoam-tram-lang-truoc-ky-nghi-le-2-9-20240830153741418.htm