Vietnam Daily Market Recap December 20 2024 – BAF & VIB Update

Stocks rebound, led by industrials

The two major indices diverged today. The VN-Index’s reaction to the negative news from the US Fed yesterday was short-lived. While other Asian markets, such as the STI (-1.1%), SET (-0.9%), KOSPI (-1.3%), and FBME (-0.4%) all continued to fall, the VN-Index rebounded today to close up 0.2% at 1,257.5. Vietnam’s outperformance accompanied by modest foreign net buying today might be attributable, at least in part, to fast action by the SBV to support the VND. (See our macro note) Mid-cap stocks seemed to be more strongly affected by the global pressures though. The HNX-Index closed down 0.2% at 227.1. Total trading value shrank 24% compared to yesterday to VND13.5tn (USD530.5mn).

Industrial Goods & Services stocks (+3.8%) were outstanding performers today, including VOS (+7.0%), VSC (+1.9%), PHP (+5.8%), SGP (+6.4%), VNA (+5.8%),  and HVN (+6.9%). As mentioned in our Container Port Sector report, we expect that there could be a short-term increase in container volume as businesses may “front-load” demand to avoid higher tariffs in the future. Read the full report here.

The Media sector (+1.1%) was driven by YEG (+6.7%). The recent success of the show “Anh Trai Vượt Ngàn Chông Gai” has been sustaining investor optimism for this stock. Since the show aired, YEG stock has increased 106.5%. Following overwhelming support from audiences for two concerts in HCMC and Hung Yen, YEG has decided to hold another concert in HCMC in March 2025.

Other sectors that rose were Real Estate (+0.2%), Food & Beverage (+0.9%), Telecommunications (+2.0%), Construction & Materials (+0.2%) and Retail (+0.7%). In contrast, Utilities (-0.5%), Financial Services (-0.3%) and Insurance (-0.4%) declined.

Foreign investors barely net bought today VND31.8bn (USD1.2mn). Buying momentum focused on VNM (VND125.9bn, USD4.9mn), VIX (VND104.5bn, USD4.1mn), FPT (VND87.1bn, USD3.4mn) and SIP (VND85.6bn, USD3.4mn). Conversely, they sold HPG (VND90.0bn, USD3.5mn), NVL (VND70.1bn, USD2.8mn), VHM (VND50.5bn, USD2.0mn) and BID (VND43.8bn, USD1.7mn).

For the week, the VN-Index slid (-0.4%) while the HNX-Index was flat. It was another net selling week of foreign investors with a total net selling value of VND1.3tn (USD51.1mn), 18% higher than last week. Total trading value declined 3.4% WoW, averaging VND13.8tn (USD542.2mn).

Read the full report: HERE