Stock market soars in August

The stock market has just had a positive August in terms of both scores and liquidity.

The market increased for 4 consecutive weeks despite the divergence in the last week of the month. VN-Index ended the month at 1,682.21 points, up nearly 180 points (11.96%) compared to July and up 32.8% compared to the end of 2024; in which on August 21, VN-Index closed at its highest level in history at 1,688 points. VN30-Index stopped at 1,865.38 points, up 15.49% and 38.7% respectively.

Bank stocks exploded, helping the VN-Index close at a historic 1,688 points on August 21. Screenshot

Over the past month, most industry groups have had positive developments. The most prominent is the securities group when market liquidity continuously set records; followed by the banking group when credit growth is strong, valuation is attractive and the prospect of upgrading is optimistic. The next groups with good gains are real estate, seaports, insurance, retail, steel...

Market liquidity set a new record in August. Trading volume on the Ho Chi Minh City Stock Exchange averaged 1.67 billion shares per session. The downside was the sudden net selling by foreign investors. The net selling force of foreign investors was absorbed by domestic investors and did not greatly affect the upward trend in August.

Mr. Phan Tan Nhat, an expert at Saigon- Hanoi Securities Joint Stock Company (SHS), said that the stock market's positive performance in August was based on many positive factors.

The economy grew at a high rate in the first 6 months of the year; business results of listed enterprises grew strongly in the second quarter of 2025. In addition, new growth drivers are expected to come from Resolutions No. 68-NQ/TW on private economic development; Resolution No. 57-NQ/TW on breakthroughs in science and technology development, innovation and national digital transformation; Resolution 59-NQ/TW on international integration in the new situation; Resolution No. 66-NQ/TW on innovation in law-making and enforcement to meet the requirements of national development in the new era.

In addition, market valuations remain relatively attractive relative to historical averages and future growth prospects, plus optimism for an upgrade.

Meanwhile, experts from Vietnam Construction Securities Joint Stock Company said that there were cautious signals from investors in the last trading week of August, when liquidity decreased. It is highly likely that the market needs a period of adjustment to accumulate to the balance zone before continuing to return to the sustainable growth trend.

At present, investors should be cautious, limit opening new buying positions, patiently wait for VN-Index to accumulate in the balance zone before strongly disbursing for new net buying positions.

Source: https://hanoimoi.vn/thi-truong-chung-khoan-thang-hoa-trong-thang-8-714798.html