VN-Index breaks the 1,600 point mark

(NLDO) - The weekend trading session (November 7) ended with red covering the entire market as strong selling pressure occurred on a large scale.

The VN-Index fell sharply by 43.54 points (-2.65%), closing at 1,599.1 points, marking the deepest decline in nearly 2 months. Market liquidity remained high with more than 838 million shares matched, total transaction value reaching 24,289 billion VND.

The entire HOSE floor recorded 270 stocks decreasing, only 59 stocks increasing and 37 stocks remaining unchanged. Cash flow mainly withdrew from the bluechip group, causing VN30 to decrease 44.89 points (-2.4%) to 1,824.71 points.

The trading session of the weekend of November 7 ended with red covering the entire market as strong selling pressure occurred widely, especially in large-cap stocks.

The stocks that had the strongest impact on the index were VIC (-7.01 points), VHM (-6.36 points), CTG (-2.53 points), VCB (-1.88 points), VPB (-1.78 points) and BID (-1.58 points). These codes all fell sharply, creating great pressure on the market. Meanwhile, a few large stocks such as GAS (+0.43 points) andFPT (+0.31 points) still maintained a slight green color but were not enough to balance the general decline.

By industry, the finance and banking group was the focus of the sell-off with a series of codes falling sharply: VIX (-6.67%), STB (-6.84%), SSI (-3.94%),SHB (-3.47%), VPB (-3.51%). The real estate group also plunged, led by VHM (-6.9%), DXG (-4.55%), KHG (-4.15%), PDR (-2.03%). In the basic materials group, HPG decreased slightly by 0.19% while NKG kept its price almost unchanged.

Foreign investors continued to maintain a strong net selling position, with a selling value of VND 3,974 billion, much higher than the buying value of VND 2,679 billion, equivalent to -VND 1,295 billion withdrawn from the market.

On the HNX floor, the HNX-Index decreased by 6.04 points (-2.27%) to 260.11 points; while the UPCOM-Index reversed the trend slightly, increasing by 0.46% to 116.75 points.

According to analysts, the fact that VN-Index lost the psychological threshold of 1,600 points in this session shows that investors are becoming cautious, especially when cash flow is weakening and profit-taking pressure is increasing in leading stocks. It is forecasted that next week, the market may continue to struggle around the 1,580 - 1,610 point range before finding a new equilibrium point.

Mr. Huynh Anh Tuan, General Director of Vikkibank Securities Company (VikkibankS), commented that the trading session last weekend was an unexpected and unpredictable development, when the market fell deeply without following the usual rules of the "makers". This left many individual investors unable to react in time.

"With the current signals, the trend should be upward, but on the contrary, the VN-Index has fallen sharply despite no significant negative information appearing. While the general index has decreased by about 10-15%, many individual stocks have lost 30-50% of their value in just three weeks, causing great psychological pressure on investors," said Mr. Tuan.

According to Mr. Tuan, market confidence has dropped significantly, leading to a wave of sell-offs. Some investors proactively cut losses, while others were forced to sell due to high margin usage.

"Recently, large IPOs of businesses have drained liquidity from the market, while investors are still skeptical about the index's ability to recover," Mr. Tuan commented.

However, Mr. Tuan also said that the recent sharp decline could be a technical drop, bringing the market into a short-term oversold zone, creating conditions for an early technical recovery.

"If there are no new negative factors, the area around 1,600 points could be a short-term accumulation zone. After one or two more adjustment sessions, the market will likely bounce back," Mr. Tuan predicted.

Source: https://nld.com.vn/chung-khoan-bat-ngo-giam-manh-vn-index-thung-moc-1600-diem-196251107152420108.htm