HÀ NỘI — The stock market retreated on Thursday as selling pressure intensified across large-cap stocks, particularly in the banking sector, dragging the benchmark lower while trading liquidity eased sharply. 

The VN-Index, representing the Hochiminh Stock Exchange (HoSE), closed down 11.68 points at 1,764.78 points, while the VN30-Index lost 14.09 points, or 0.74 per cent, to 1,902.79 points.

On the Hanoi Stock Exchange (HNX), the HNX-Index slipped 0.95 points to 292.64 points.

Market liquidity weakened noticeably, with total trading value across the two exchanges reaching approximately VNĐ16.2 trillion (US$618 million), down more than 24 per cent from the previous session.

Market breadth reflected widespread selling pressure, as 293 stocks declined, compared with 156 gainers. 

Large-cap stocks accounted for most of the decline.

Vingroup (VIC) exerted the largest negative impact on the benchmark, shaving 2.06 points off the VN-Index.

It was followed by VietinBank (CTG), MBBank (MBB), Techcombank (TCB), LPBank (LPB) and VPBank (VPB), while Vietnam Airlines (HVN) and Vietcombank (VCB) each removed around 0.55 points from the index.

On the positive side, Vinhomes (VHM) made the strongest contribution, adding 0.54 points. Other gainers included Duc Giang Chemicals Group (DGC) with 0.25 points, Vinamilk (VNM) and VietBank (VBB), each contributing 0.18 points, followed by FPT Corporation (FPT) and GELEX (GEX).

Foreign investors, meanwhile, returned to net selling after several buying sessions, recording net sales of nearly VNĐ121 billion on the HoSE and VNĐ14.2 billion on HNX.

Analysts at TPS Securities said the probability of the VN-Index entering a period of short-term consolidation or correction has increased, identifying the nearest support zone around 1,735 points.

According to TPS, the benchmark has continued to form a pattern of lower highs and lower lows since May, suggesting the market may require additional time to build a sustainable upward trend.

The firm advised investors to prioritise risk management, maintain a reasonable equity allocation and avoid increasing exposure while the index remains within a strong resistance area.

Saigon - Hanoi Securities (SHS) also expects the VN-Index to fluctuate and consolidate around the 1,750-1,770-point support range.

SHS reiterated its recommendation against chasing stocks as the benchmark approaches the 1,800-point resistance level, advising investors to rebalance portfolios, reduce speculative positions and gradually accumulate high-quality market leaders with strong earnings growth during periods of market volatility and correction. — BIZHUB/VNS