Vietnam shares narrow losses, close at 1-year low

Anh Minh

Feb 03, 2020 / 03:44 PM

If the psychological thresholds of 890-900 of the VN-Index are not breached, the market may recover in the short term.

Vietnamese shares extended losses on Monday for a third day after the one-week Lunar New Year break but the fall was narrowed as investors stepped in to pick battered stocks.

The benchmark VN-Index ended down 0.91% at 928.14 – the lowest from the close on February 11, 2019. The index managed to bottom out from an intraday low of 892.84 – the lowest from November 2017.

The development of the VN-Index on Feb. 3, 2020. Chart: Bloomberg

The recovery was led by heavyweights, especially lenders BIDV (BID), VietinBank (CTG), Sacombank (STB) and VPBank (VPB), and steel maker HPG.

Trading volume was heavy with 275.52 million shares worth VND5.05 trillion (US$216.8 million) traded, compared to 254 million shares, valued at VND4.88 trillion (US$209.7 million) on Friday.

Sentiment became less sour towards to close as investors bought on the dip after the VN-Index lost 5.53% in the first two days after the markets reopened.

The rising selling pressure was understandable as investors are worried about the uncertain evolution of the new coronavirus epidemic, and the historical losses in the previous global epidemic like the SARS in 2003, said Nguyen Thanh Tuan, head securities analyst at VNDirect Securities.

However, that the VN-Index loss of 7% in the past three days was an overreaction of investors, Tuan said.

If the psychological thresholds of 890-900 of the gauge are not breached, the market may recover in the short term and the recovery will be gradual on the course of positive news in dealing with the coronavirus epidemic from the Vietnamese and global health authorities, the analyst commented.

Vietnam shares hit three-year low on nCoV fears

03 Feb, 14:39

The new coronavirus should be considered as a “black swan” event, which has major impacts on short-term but is unlikely to change a full economic cycle.

Spooked investors continue to dump Vietnam shares as nCoV spreads

31 Jan, 16:55

The selloffs in Vietnam tracked losses in major Asia markets as fears over the ongoing coronavirus outbreak in China continued to weigh on investor sentiment.

Vietnam shares sold off as virus fears spread; US$5 billion evaporates

30 Jan, 16:29

Fears of the nCoV, also known as the Wuhan virus, have sent major bourses in Asia and Europe tumbling.

VNPT enters global AI race with new dedicated unit

Vietnam’s leading telecom group VNPT has launched a dedicated AI company to commercialize Vietnamese-made artificial intelligence products and expand into major international markets.

21 Dec, 07:14 AM

Vietnam launches AI, semiconductor training centers

New AI and semiconductor training centers are now open in Vietnam, aiming to boost hi-tech talent, research strength and integration into the global supply chain.

21 Dec, 06:58 AM

Vietnam explores low-altitude economy as drones reshape agriculture and urban services

From farmlands and delivery routes to traffic monitoring and emergency response, unmanned aerial vehicles (UAVs) are rapidly entering Vietnam’s economic life, opening new growth space as cities and provinces accelerate plans for the low-altitude economy.

19 Dec, 02:00 PM

Vietnam OCOP Festival 2025 honors products as program marks nationwide development milestones

The festival aims to promote and honor outstanding OCOP products and producers and to reaffirm Hanoi’s leading role as the country’s “pacesetter” in the One Commune One Product (OCOP) program.

17 Dec, 07:06 PM

Vietnam posts five-year high FDI disbursement as investor confidence strengthens nationwide 2025

Despite global economic and geopolitical headwinds, foreign capital flows into Vietnam accelerated in 2025, with investment increasingly concentrated in high value-added sectors, highlighting the country’s growing appeal as a stable, long-term destination for investors.

16 Dec, 10:12 PM