VN-Index hits historic peak but investors' stock accounts remain sluggish

(NLDO) – VN-Index reached a historical peak of more than 3 years, VN30 index broke the historical peak but many investors' accounts only remained flat or did not make profits as expected.

The Vietnamese stock market recorded an impressive trading week from July 7 to 11, with the VN-Index hitting a historic peak of 1,457.76 points, up 5.1% from the previous week. The VN30 Index was not far behind, rising sharply by 7.07% to reach 1,594.07 points, breaking the previous record. This development reinforced investors' confidence in a sustainable recovery cycle, especially when cash flow into bluechips remains strong.

An atmosphere of optimism prevails.

An optimistic atmosphere pervades stock forums and groups as investors continuously share their expectations and predictions that the VN-Index will soon reach a new peak, even surpassing the 1,500-point mark. However, behind that excitement, there is also concern, even disappointment, among investors who have not yet reached shore when their stock portfolios have only moved sideways or decreased slightly, even though the general market has exploded. This reflects the fact that the breadth of the market is showing clear signs of differentiation.

According to analysis from SHS Securities Company, in just one week, VN-Index has made a spectacular breakthrough from the 1,380 point area to above 1,450 points. However, not all stock groups benefited from the uptrend. The increase mainly focused on Vingroup stocks, steel, banking, securities and large-cap stocks, which were strongly supported by the continuous net buying activities of foreign investors.

Meanwhile, many midcap stocks and other industry groups are still under pressure to adjust and accumulate, showing that cash flow is being more selective, only prioritizing flowing into businesses with solid fundamentals or directly benefiting from the uptrend.

The recovery level of industries and VN-Index after the decline in early April until now

Within each industry, stocks are also differentiated. Ms. Thuy Minh (living in Phuoc Long ward, Ho Chi Minh City) complained that many real estate stocks increased strongly, continuously hitting the ceiling price such as VIC, VHM, LDG, DLG, NTL, NDN, DXG, TCH, but the portfolio she holds, KDH, DIG, did not increase too strongly.

Many other investors also complained that they were "not too happy" because they did not hold stocks that were increasing strongly.

Mr. Nguyen Tan Phong, analyst at Pinetree Securities Company, commented that investor sentiment last week was much more excited when a series of good information was released about tariffs, JP Morgan (USA) recommended buying stocks in the Vietnamese market, the Prime Minister promoted FTSE upgrading of the Vietnamese stock market...

However, the market still has certain differentiation when cash flow only focuses on large-cap stocks (bluechips), while midcap stocks only move sideways or make slight adjustments.

"This leads to the situation where the VN-Index increases sharply but many investor accounts only move sideways if they do not buy the right stocks that increase. With the strong net buying power of foreign investors and the strong cash flow into pillar stocks, the short-term trend of the VN-Index is positive. But it is too early to predict that this is the "wave foot" before the market upgrade. Because foreign organizations buy strongly but only focus on allocating to SSI, FPT andSHB and midcap stocks - in contrast to the fact that before the market upgrade, the cash flow must be allocated to stocks such as HPG, VNM, or large bank stocks" - Mr. Phong stated his opinion.

Many investors' accounts have not increased as expected, if the stocks held have not increased sharply in recent days.

VN-Index forecast to hit historic peak and has potential to reach 1,500 points in the near future

According to some securities companies, investors should not be too FOMO (fear of missing out) on new stocks. For investors who are holding stocks, there is no need to sell immediately.

In the short term, SSI Securities Company believes that the market may witness strong fluctuations in July and early August due to profit-taking pressure during the business results season at the end of July. The room for further loosening of monetary policy is limited in the context of the exchange rate increasing by more than 3% in the first half of this year.

The impact of tariffs has begun to become more evident, as shown through export figures and third-quarter business results of a number of related industries such as textiles, seafood, industrial parks, etc.

VN-Index has been rising in a V-shape in just over the past 3 months.

"SSI maintains a positive view on the market in the long term with the target of VN-Index reaching 1,500 by the end of 2025 thanks to a stable macro economy; sustainable corporate profit growth; cooling tariff uncertainty; low interest rate environment..." - experts of this securities company forecast.

Source: https://nld.com.vn/vn-index-lap-dinh-tai-khoan-chung-khoan-nhieu-nha-dau-tu-van-chua-ve-bo-19625071312145661.htm