The psychological impact of the sharp decline in the US stock market caused selling pressure to increase in the stock market in the first trading session of September.
Liquidity yesterday (September 4) increased slightly compared to the session at the end of last week with matched volume on HOSE, equivalent to the average of 20 sessions, showing that the previous trend has not been broken.
Besides domestic selling pressure, foreign investors had a strong net selling session of nearly 800 billion VND, focusing on bluechip codes and high-priced stocks such as DGC, FPT, VPB, HPG...
Yesterday's first session of September was dominated by sentiment, which was affected by the sharp decline of many major indices in the world. However, liquidity has not changed dramatically, so the previous trend has not been broken.
Experts from KB Securities Vietnam said that large selling volume only appeared concentrated at the beginning of the session and bottom-fishing demand then pushed prices back up in some groups of stocks, helping the index avoid a deep decline.
With the short-term uptrend still being preserved, VN-Index has a high probability of recovering and regaining the uptrend around the support levels. Investors are recommended to increase the proportion when retreating to the distant support levels.
Experts from Asean Securities Company also believe that investors should maintain an average stock ratio and observe more closely during this period to look for new opportunities, prioritizing stocks with good fundamentals and positive business results.
Currently, the news flows that can affect the market at this stage may be related to policies, such as the process of adjusting the pre-funding mechanism and the monetary policy of the State Bank (interest rate management or recently credit room adjustment). These factors not only affect the stability of the market but also affect investment psychology.
In addition, in September, some early estimates of companies' business results in Q3 will also be gradually announced and can significantly impact investors' stock selection and trading decisions.
At the same time, peripheral factors such as the Fed's decision to cut interest rates (most likely in September), geopolitical developments, or the focus of election debates in the US will also create significant impacts on the global financial market, thus directly affecting the Vietnamese financial market.
As of August 30, the VN-Index was trading at a P/E of 13.91 times, about 4.5% lower than the 5-year average.
With the macroeconomic and domestic situation gradually becoming more positive, the profits of listed enterprises continue to recover. In September, experts still maintain the view that the market will likely return to an upward trend, even reaching the 1,350 point mark.
