Daily Market Recap May 20, 2024 – Economic Update

Market Commentary: Market extends winning streak to reach seven-week high

The VN-Index traded in the green throughout the trading session on Monday, closing up 0.4%, or 4.47 points, to 1,277.58, a fifth consecutive trading day of gains and the highest close since April 2. The HNX Index also jumped, rising 0.4%, or 1.03 points to 242.57.

Insurance emerged as the best performing sector, registering a 3.7% increase, led by BIC (+6.9%), MIG (+7%). Most other sectors also experienced upticks, including telecommunications (+2.9%), automobile & parts (+2.6%) and basic resources (+1.1%), reflecting the overall market’s positive sentiment. However, the technology sector bucked the trend, declining -1.2%, led by FPT (-1.1%).

The real estate sector (+0.4%) rose slightly, led by DXS (+7.0%), which reached its ceiling price amid no apparent catalyst.

BCM (+7%) stands out as one of today’s top performers, reaching its price ceiling. This surge was driven by news that State ownership at BCM will decrease from 95.4% to near 65% by 2025 (See our Macro Note below).

Foreign investors net sold for a ninth consecutive trading day for a total value of VND1.1tn (USD39.6mn), focusing on VHM (VND205bn; USD8.1mn), VNM (VND153bn; USD6.1mn), and MWG (VND105bn; USD4.1mn). Net bought stocks included DBC (VND165bn; USD6.5mn) and EIB (VND44bn; USD1.7mn).

Top index supporters today included BCM (+7%), VPB (+2.1%), HPG (+1.3%), HDB (+2.3%), and BID (+5.2%), which contributed a total of 3.5 points to the VN-Index. Conversely, top laggards included FPT (-1.1%), VHM (-1.0%), PGV (-2.2%) and VNM (-0.3%)

Read the full report: HERE