VN-Index Approaches 1,800 Points Led by Real Estate, Foreign Net Buying

Overview

On August 24, the VN-Index climbed 1.17% to 1,788.78 points, approaching the 1,800-point mark. Real estate stocks, particularly VIC and VHM, led the rally, while foreign investors extended their net buying streak to a second session. The market’s advance was broad-based, with energy, steel, and selected financials also contributing.

Key Facts

• VN-Index rose 20.66 points (1.17%) to 1,788.78 points on August 24.
• Trading value on HOSE exceeded VND 19,300 billion.
• VIC gained 4.63% and VHM rose 2.37%, together contributing approximately 18 points to the index.
• Other real estate gainers: TCH +6.85%, CEO +5.56%, PDR +4.47%, KDH +3.06%.
• Foreign investors net bought about VND 180 billion on HOSE, with HPG leading at VND 106 billion, followed by VIC (VND 83 billion) and VPB (VND 67 billion).
• FTSE Russell added 27 Vietnamese stocks to the FTSE Emerging All Cap Index, supporting sentiment.
• PNJ hit its ceiling price for a second consecutive session, closing at VND 42,650 with over 11 million shares bid at the ceiling.

What Happened

The VN-Index started the week strongly, rising 20.66 points to 1,788.78 points, as real estate stocks led the charge. VIC of Vingroup surged 4.63%, and VHM of Vinhomes advanced 2.37%, together contributing roughly 18 points to the index. Other property names such as TCH, CEO, PDR, and KDH also posted solid gains, reflecting renewed investor interest in the sector.

The rally was supported by FTSE Russell’s announcement that it would add 27 Vietnamese stocks to the FTSE Emerging All Cap Index, a move seen as a positive catalyst for market sentiment. Energy stocks also performed well, with PVD up over 4%, PVS +2.7%, BSR +2.05%, and GAS +1.8%. In the financial sector, VPB rose 2.53% and SHB gained 1.68%, though some banks like CTG, MBB, ACB, TPB, and LPB declined. Securities stocks were mixed, with SSI up 2.41% and VIX up 2.22%.

Foreign investors remained net buyers for a second consecutive session, purchasing about VND 180 billion on HOSE. HPG saw the largest net inflow at VND 106 billion, followed by VIC (VND 83 billion), VPB (VND 67 billion), and MSN (VND 61 billion). On the selling side, VCB was net sold VND 58 billion, DCM VND 41 billion, and CTG VND 37 billion.

Market Context

The VN-Index’s approach to 1,800 points comes amid improving liquidity and positive foreign flows. Real estate, a heavyweight sector, has been a key driver, with VIC and VHM leading gains. VIC closed at VND 214,500, up 4.63%, while VHM ended at VND 73,400, up 2.37%. Both are listed on HOSE. The sector’s strength is partly attributed to the FTSE Russell inclusion, which could attract passive inflows. However, the market remains selective, with banking stocks showing divergence and securities names not fully participating.

Strategic Significance

For long-term investors, the sustained rally in real estate, led by VIC and VHM, signals improving confidence in the sector’s recovery. The FTSE Russell inclusion is a structural positive, potentially increasing foreign ownership and liquidity. VIC’s role as a market leader underscores its systemic importance, and its performance often sets the tone for the broader index. The continued foreign net buying, particularly in HPG, VIC, and VPB, suggests institutional interest in large-cap names with strong fundamentals. However, the divergence within banking and securities indicates that investors are being selective, favoring sectors with clearer growth catalysts.

What to Watch

• Whether the VN-Index can break and hold above 1,800 points in the coming sessions.
• Foreign net buying momentum, especially in VIC, HPG, and VPB, and any shifts in their positions.
• Further details on FTSE Russell’s index inclusion and potential passive fund flows.
• Q3 earnings reports from real estate and energy companies for confirmation of fundamental strength.
• Regulatory or policy announcements affecting the real estate sector, such as land law amendments or credit policies.