Vietnam Daily Market Recap Jul 12, 2022

Market commentary: The extraordinary was calling the VN-Index

As a result of the market’s strong upward momentum throughout the session, the VN-Index finished the day up 19.5 pts, at 1,174.8pts, after having successfully tested the market’s major bottoms in May and June. Stocks fell and the US dollar extended its gains on Tuesday, while a broad MSCI index of Asian equities touched a fresh two-year low as markets were gripped by fears of a global recession, and the VN-Index opened cautiously with a 1.0pts gap gain. In the opening minutes, the market showed signs of struggling and deviated over the reference level, which coincided with the crucial bottom in the Index’s May and June range. The index remained under pressure from stocks related to Vingroup, and a few stocks in the Blue chip basket. The destination of cash flow has continued to be stocks with attractive discounts, such as Real Estate, Securities, Construction, and Public Investment; in addition, the sector was under panic selling pressure in recent sessions such as Chemicals, Oil & Gas, Fertilizer, and Ports Industry witnessed a technical recovery session. The market finished the morning at 1,159.7pts, thanks in part to this convergence of factors. The index’s upward momentum picked up considerably in the afternoon, building on the day’s earlier gains. High consensus was obtained on the VN-Index, which helped to solidify the increasing momentum, when the banking group gained the attention of the cash flow and then spread to the whole market. Before the start of the ATC session, the VN-Index climbed to a high of 1,174.8pts. Despite a solid gaining day for the Index and an overwhelming number of gainers relative to the rest, liquidity did not improve much, rising by just approximately 4% relative to the average of the prior 5 trading sessions. Contrary to the previous session, the group with a positive correlation with the market showed dominance with the group with a negative correlation. BID (+5.5%), GAS (+4.3%), GVR (+6.9%), MBB (+2.8%), BCM (+3.9%), DGC (+5.2%) contributed 7.7pts, while VHM (-0.5%), VJC (-1.5%), SAB (-0.9%), MSN (-0.5%), TMS (-6.3%), VCB (-0.1%) only took away 1.3pts. At the end of the session, the VN-INDEX increased strongly by 1.7% to 1,174.8pts, and the HNX-INDEX rose by 1.8% to 281.9pts

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