HÀ NỘI — The stock market began February with a sharp decline, as the VN-Index retreated close to the 1,250-point mark. Liquidity increased slightly compared to the previous session, while foreign investors resumed net selling. Meanwhile, gold prices surged after the Tết holiday.

On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index closed at 1,253.03 points, dropping 12.02 points, or 0.95 per cent.

Market breadth was negative, with 168 declining stocks outnumbering 158 gainers. Trading value on the southern bourse rose to VNĐ13.9 trillion (US$550.85 million), up 13 per cent from the previous session.

The VN30-Index, which tracks the top 30 largest-cap stocks on HoSE, also suffered a significant decline, losing 22.13 points, or 1.65 per cent, to close at 1,315.46 points. Within the VN30 basket, 25 stocks declined, while four advanced and one remained unchanged.

Leading the market’s downturn was FPT Corporation (FPT), which plunged 5.15 per cent, erasing more than 2.66 points from the VN-Index.

Other major banking stocks also weighed heavily on the market. Bank for Foreign Trade of Vietnam (VCB) fell 1.08 per cent, Bank for Investment and Development of Vietnam (BID) lost 1.5 per cent and Vietnam Technological and Commercial Joint Stock Bank (TCB) dropped 2.02 per cent.

Notable declines were also recorded in Vietnam Dairy Products Joint Stock Company (VNM), which fell 2.73 per cent, and Vietnam Prosperity Joint Stock Commercial Bank (VPB), which dropped 2.12 per cent.

Despite the overall market weakness, some large-cap stocks managed to provide mild support. Vietnam Rubber Group - Joint Stock Company (GVR) gained 1.56 per cent, contributing over 0.44 points to the VN-Index.

Market analysts at Việt Dragon Securities said: "The market lost balance and fell below the MA(200) level, around 1,260 points. Liquidity increased compared to the final trading session before Tết 2025, indicating stronger selling pressure, while buying momentum remained cautious.

"Downward pressure may persist in the next session and the market will need to test supply and demand around the 1,250-point zone. To regain upward momentum, the market requires stronger support from capital inflows.

"Therefore, investors should remain cautious and observe market movements at key support levels. In the meantime, it may be advisable to adjust portfolios by reducing exposure to mitigate risks. However, if the market shows signs of recovery with improved liquidity, short-term opportunities could emerge in stocks that have stabilised at strong support zones."

Meanwhile, on the Hà Nội Stock Exchange (HNX), the HNX-Index managed to edge up 0.22 per cent, closing at 223.49 points. Trading value on the northern exchange exceeded VNĐ708 billion, with over 43 million shares changing hands.

Foreign investors returned to net selling, offloading over VNĐ1.4 trillion worth of shares on the HoSE.

 

Gold prices up after Tết

In contrast to the stock market's downturn, gold prices rose significantly following the Tết 2025 holiday.

On the morning of February 3, at Sài Gòn Jewellery Company (SJC), gold bullion was quoted at VNĐ87.8-VNĐ89.8 million per tael, marking an increase of approximately VNĐ500,000 for both buying and selling prices compared to the pre-holiday period.

Meanwhile, SJC gold jewellery experienced an even steeper rise, with the buying price increasing by VNĐ700,000 and the selling price climbing by VNĐ800,000, reaching VNĐ87.5-VNĐ89 million per tael.

Experts attribute the divergence between gold and stock market trends to post-holiday supply-demand factors and investor expectations for a continued rally in gold prices in the medium to long term. — VNS