Vietnam Daily Market Recap September 27, 2024 – MWG & TCM Update

Market commentary: Stocks bounce off 1,300, end week flat

The VN-Index opened higher and tested the 1,300 level but quickly retreated to close flat at 1,290.92, down just 0.04%. 148 stocks gained while 228 declined. However, total trading value was VND21.6tn (USD853mn), little changed from yesterday’s high level. The HNX-Index fell 0.21 points (-0.1%) to close at 235.71.

For the week, the VN-Index gained 1.5% (+18.88 points), bolstered by the Fed rate cut and new regulations on pre-funding for foreign institutional investors. Average daily trading value jumped 56.5% compared to (VND19.4tn/USD788mn) from the previous week.

Banks (+0.5%) and Financial Services (+0.01%) performed well today, led by VPB (+0.8%), TPB (+1.5%), SHB (+2.3%), CTG (+1.7%), TCB (+0.4%), EIB (+3.6%), SSI (+0.4%), VND (+1%), MBS (+1.6%) and FTS (+0.4%).

Banks and Financial Services were also the best performing sectors this week with gains of 3.3% and 3.1%, respectively. We believe that market sentiment has improved after Circular 68/2024/TT-BTC was officially issued. It allows securities companies to provide services without sufficient funds to trade for foreign institutional investors. This improves the likelihood that Vietnam’s stock market will be upgraded to emerging market status by FTSE and MSCI in 2025-26.

Foreign investors net bought today with (VND251bn, USD10mn), extending a three-day net bought streak. Buying momentum focused on FPT (VND103bn, USD4mn), TPB (VND96bn, USD3.9mn), VNM (VND79bn, USD3.2mn), SSI (VND61bn, USD2.5mn), and CTG (VND43.5bn, USD1.8mn). In contrast, VPB (VND161bn, USD6.5mn), HPG (VND72.5bn, USD3mn) and MWG (VND67.7bn, USD2.8mn) were the most sold.

Read the full report: HERE