Vietnam investors brace for volatile week after rebound


- AFP PHOTO/Francois MAY

HANOI: The domestic stock market has returned to positive territory, snapping a four-week losing streak as stronger than expected second-quarter corporate earnings and stable monetary policies from major central banks help improve investor sentiment.

However, trading liquidity remained subdued, while persistent foreign selling and global uncertainties continued to weigh on the market outlook.

On the Ho Chi Minh Stock Exchange, the VN-Index closed last week at 1,735.78 points, up 2.95% from the previous week, marking its first weekly gain after four consecutive weeks of declines.

Despite the rebound, trading activity showed signs of caution.

Average daily trading volume on the southern bourse reached around 726 million shares, down more than 10% from the previous week.

Average daily trading value also declined by nearly 13% to approximately 17.5 trillion dong (US$665.4mil), while matched trading volume was 6.4% below the 20-week average.

Foreign investors remained net sellers, extending their selling streak with net outflows of more than 2.5 trillion dong.

The value was more than 30% lower than the previous week’s figure.

Statistics compiled by Viet First Securities showed that foreign ownership fell from 13.74% to 13.3% between the beginning of the year and July due to sustained net selling. — Viet Nam News/ANN

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