Stock market commences May with a bullish trend as significant equities record gains following the holiday break.
Hanoi - The Vietnamese stock market kicked off May with a positive momentum, as the VN-Index breached the 1,240-point threshold despite subdued liquidity and cautious sentiment. The upsurge was mainly fueled by gains in major blue-chip stocks, particularly those within the Vingroup ecosystem.
May 5 also marked the initial trading day under the new KRX system, intended to modernize Vietnam’s market infrastructure.
Upon the opening bell, the VN-Index soared to 1,235 points, an almost 8-point jump from the previous session preceding the five-day national holiday. The gains persisted throughout the session, with the index closing at 1,240.05, up 13.75 points or 1.12%.
The market breadth remained favorable, with 233 stocks advancing and only 85 declining on the Ho Chi Minh Stock Exchange (HoSE).
However, trading volume remained limited, with total trading value decreasing by 7.7% from the previous session, hinting at continued apprehension among both buyers and sellers post-holiday.
The VN30-Index, representing the 30 largest listed companies by market capitalization, climbed by 10.68 points, or 0.82%, ending at 1,320.41. Amidst the VN30 stocks, 19 gained, seven lost ground, and four closed flat.
Key stocks within the Vingroup family led the rally, including Vingroup (VIC) up 2.94%, Vinhomes (VHM) up 4.28%, and Vincom Retail (VRE) up 5.29%. These stocks contributed over five points to the VN-Index.
Analysts at Viet Dragon Securities stated, "The market's positive start in May was partially boosted by the official commencement of the KRX trading system. Liquidity experienced a slight decline, mirroring sustained hesitation from both buyers and sellers. Although the index did not soar dramatically, it managed to stabilize near the 1,240-point zone, suggesting a potential equilibrium as the market gauges supply and demand."
They added, "Investors can anticipate continued support, but should closely monitor supply-demand dynamics to evaluate the market's true momentum. The ongoing recovery trend could provide opportunities for rebalancing or taking profits. For new buying positions, we recommend targeting stocks exhibiting technical strength near support or accumulation zones."
On the Hanoi Stock Exchange (HNX), the HNX-Index also ascended by 0.41% to conclude at 212.81 points. Trading value on the HNX exceeded VND 724 billion, with over 43 million shares traded.
Foreign investors recorded a net buying session on Monday, accumulating shares worth over VND 125 billion on the HoSE.
Additional Insights:
An investor monitors the stock market. - Photo baotintuc.vn
- The KRX system, launched in May 2025, is designed to modernize Vietnam's stock trading infrastructure, enhancing operational capabilities and increasing liquidity. The system may enable the introduction of new financial products such as day trading, short-selling, and derivatives (Sources: [3][4]).
- The VN-Index is expected to consolidate within a narrow range due to ongoing global trade tensions and investor cautiousness (Source: [5]).
- The modernization of Vietnam's market is part of its efforts to upgrade its market status from frontier to emerging, potentially attracting more foreign investment (Source: [3]).
- Global trade tensions, particularly those involving the U.S., and the initial period of investor adaptation to the new system could lead to volatility (Source: [3]).
- Ai analysis of the market suggests that the introduction of the KRX system, which modernized Vietnam's market infrastructure in May 2025, may lead to increased liquidity and the introduction of new financial products like day trading, short-selling, and derivatives.
- Due to ongoing global trade tensions and investor cautiousness, the VN-Index is anticipated to consolidate within a narrow range for the foreseeable future.
- Vietnam's efforts to upgrade its market status from frontier to emerging, partly due to the modernization of its market infrastructure, could potentially attract more foreign investment in the stock market.
- The initial period of investor adaptation to the new KRX system and global trade tensions, particularly those involving the U.S., could result in market volatility.
- Investors can take advantage of the ongoing recovery trend in the stock market by rebalancing their portfolios or taking profits, while also targeting stocks with technical strength near support or accumulation zones to ensure potential growth in the midst of cautious sentiments and volatility.
