HO CHI MINH CITY, Nov 11 (Vietnam Insider) — Vietnam’s stock market snapped a multi-day losing streak on Monday, with the VN-Index climbing 13.07 points (+0.83%) to close at 1,593.61, as investor sentiment turned upbeat following new signals from FTSE Russell about Vietnam’s potential market status upgrade.
The rally was broad-based, led by large-cap and retail stocks, but trading liquidity remained subdued — a sign that many investors are still cautious after recent volatility. Total transaction value on the Ho Chi Minh Stock Exchange (HoSE) reached just under VND 20 trillion (USD 790 million), below the daily average for November.
Blue-Chip Stocks Lead Market Comeback
After several sessions of declines, the market opened firmly in the green and maintained momentum throughout the day. Gains were powered by heavyweight names including: Vingroup (VHM, VIC) — leading the rebound after heavy losses last week; Brokerage firms such as SSI and VIX, reflecting renewed risk appetite; Retail and consumer plays like Masan Group (MSN), Mobile World (MWG), and Phu Nhuan Jewelry (PNJ), which benefitted from stronger domestic consumption outlooks.
Despite the positive close, analysts cautioned that low liquidity shows “recovery confidence is still fragile.” Investors appear to be waiting for more definitive news on foreign capital inflows and macroeconomic stability before committing to new positions.
FTSE Russell: Vietnam Moves Closer to “Emerging Market” Status
Adding to the day’s optimism, FTSE Russell released an update outlining progress in its ongoing evaluation of Vietnam’s potential upgrade from a Frontier Market to a Secondary Emerging Market — a change that could attract billions in new foreign investment.
According to FTSE’s latest report, 28 Vietnamese stocks currently meet the FTSE Global All Cap Index screening criteria, including major names such as HPG, VCB, VIC, VHM, MSN, VNM, SAB, SSI, VRE, VND, and VJC.
The list, based on data as of December 31, 2024, may be adjusted ahead of the official semi-annual review scheduled for September 2026. If approved, the upgrade would mark a major milestone in Vietnam’s capital market development — aligning it more closely with regional peers like Thailand, Malaysia, and Indonesia.
Market analysts noted that the FTSE progress report helped restore short-term sentiment, especially among foreign investors tracking Vietnam’s inclusion potential in global indices.
Foreign Investors Ease Selling, Turn Net Buyers in Key Blue Chips
After several sessions of heavy net selling, foreign investors significantly slowed their divestments, with total net outflows narrowing to just VND 70 billion (USD 2.8 million) — a sharp improvement from the previous week’s multi-hundred-billion totals.
Notably, Vingroup (VIC) and Hoa Phat Group (HPG) were among the most actively purchased stocks, attracting VND 153 billion and VND 105 billion in net foreign inflows, respectively.
This buying pattern suggests foreign funds are selectively positioning in blue-chip counters expected to benefit from both earnings recovery and index inclusion prospects.
Outlook: Relief Rally or Trend Reversal?
While Monday’s rebound provided much-needed relief, analysts remain cautious, pointing out that sustainable recovery will depend on improving liquidity and continued foreign inflows.
“With the VN-Index still below its 1,600 resistance zone, investors are watching whether buying momentum can build through mid-November,” one brokerage strategist said. “The FTSE upgrade story could serve as a medium-term catalyst, but domestic cash flow remains the key driver.”
Vietnam’s equity market showed its first solid rebound in days, buoyed by blue-chip gains and optimism over an upcoming FTSE Russell market upgrade. However, thin liquidity and cautious sentiment suggest the recovery remains tentative — with investors awaiting stronger signals of sustained institutional support and macroeconomic clarity.
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Source: Vietnam Insider