Although there were only 3 trading sessions in the first week of September, foreign investors net sold up to 1,220 billion VND, in which VPB and HPG were the 2 stocks sold the most.
Statistics on the HOSE floor, in the last 3 sessions of the first week of September, foreign investors net sold 2 sessions and net bought 1 session.
In total, this group net sold 44.45 million units, with a net selling value of VND1,240.37 billion, down 44.53% in volume, but up 55.78% in value compared to the previous week.
On the HNX, foreign investors net sold 1 session and net bought 2 sessions. In total, this group net sold 189,800 units during the week, down 95.3% compared to the previous session; the total net buying value was VND26.92 billion, while last week they net sold VND89.46 billion.
On the HOSE, foreign investors net bought the most VNM shares with a value of VND224.7 billion, equivalent to a net buying volume of 3 million units.
Next is the banking pair TPB and CTG, in which CTG was net bought 117.58 billion VND (3.3 million units); TPB was net bought 75.26 billion VND (4.25 million units).
On the contrary, this group sold the most VPB shares with a volume of 12.36 million units, net selling value of VND 228.67 billion.
Looking back at the stock market in the past 8 months of 2024, contrary to the quite positive developments of the general market, foreign investors' transactions have not shown signs of improvement when strong net selling pressure was maintained in the months, except for January 2024 when it maintained a net buying status of more than VND 1,100 billion.
Meanwhile, the lowest net selling month was February, reaching nearly 1,500 billion VND, and May was the strongest net selling month with a value of up to more than 19,000 billion VND. In the
first 8 months of the year, foreign investors net sold more than 64.4 trillion VND, equivalent to more than 2.5 billion USD, nearly 18 times higher than the same period last year; especially surpassing the net selling record of the whole year of 2021 with a net selling value of more than 60 trillion VND.
There are many reasons for the recent net selling of foreign investors, as given by experts.
Global economic and geopolitical uncertainties have created concerns among foreign investors.
Monetary policies in major countries, especially the US, also put great pressure on capital flows, forcing investors to withdraw money from the market.
In addition, the restructuring of investment funds is also an important factor, when they sell large-cap stocks to reorient their investment portfolios.
Dr. Nguyen Duy Phuong, Investment Director of DG Capital, expressed his opinion that the net sale of more than 2 billion USD by foreign investors since the beginning of the year is a very large and noteworthy number.
People are talking about the possibility that if the market is not upgraded, foreign investors will continue to sell.
However, to be able to upgrade the stock market, Vietnam needs to improve the foreign ownership ratio.
Therefore, it is expected that the pre-funding requirement will be officially removed in the third quarter of 2024 and FTSE will upgrade Vietnam to an emerging market in September 2025, or in March 2025. This will be a positive factor, promising to attract more foreign capital in the future.
"In the short term, foreign selling pressure will decrease when investment funds have completed restructuring their portfolios.
In addition, the US is in the process of preparing to lower interest rates, which could create favorable conditions for capital flows back to Vietnam," Dr. Phuong stated.
