Stock market soars: VN-Index hits 3-year high in June 2025
Stock Market Soars to Three-Year Peak, Continuing to Rise on Optimism Surrounding Second Quarter Earnings in Vietnam
HA _NỘI - Vietnam's stock market wrapped up the final trading week of June 2025 on an optimistic note, propelling the VN-Index to its highest level in over three years, despite skepticism and geopolitical unrest.
For the week, the VN-Index gained 22.09 points, equating to a robust 1.64% increase, reaching 1,371.44 points - a level not seen since March 2022. A sudden slump early in the week, caused by the escalating Israel-Iran dispute, was swiftly overcome, allowing the market to regain momentum and maintain a constructive tone. A surge in demand, particularly in large-cap and real estate stocks, fortified the index as it successfully breached the critical resistance at around 1,350 points.
Liquidity remained steady and even exhibited growth. Daily trading values rose by almost 4%, reaching VND21.4 trillion (US$820.1 million). Although the turnover remained selective, many shares had already rallied fiercely.
Sector rotation continued, albeit with a positive overall trend, with 16 out of 21 sectors incurring gains. Leading the revival were real estate (up 6.93%) and industrial zone real estate (up 4.9%). Consumer sectors like technology and retail also posted substantial gains.
On the other hand, oil and gas stocks retreated by 3.48%, triggered by a sharp decline in global oil prices following the United States' announcement of planned strategic reserve releases and expectations of stabilizing supply as Middle East tensions abated. Fertilizers and pharmaceuticals also saw modest decreases.
The VN30 basket continued to support the broader market. The VN30-Index increased by 2.84% to 1,475.89 points, nearing the strong resistance band of 1,480-1,500 points, which is remarkably similar to key support levels during peak periods in late 2021 and early 2022. Notable contributors included Masan Group (MSN), Mobile World (MWG), Vinamilk (VNM), Vinhomes (VHM), and Vingroup (VIC).
Foreign investor activity was more balanced. Throughout the week, offshore investors offloaded VND42 billion on HoSE, a relatively neutral figure compared to the past. Net buying focused on stocks with solid fundamentals such as VND, SSI and Hoa Phat Group (HPG). In contrast, FPT Corporation (FPT) and Vietcombank (VCB) experienced significant net selling.
Analysts at Saigon - Hanoi Securities (SHS) observed that the VN-Index's breakthrough above its previous high provided a promising signal, laying the groundwork for an advance toward the 1,380-1,400 zone and potentially even 1,420 points.
However, they urged caution regarding liquidity, which has yet to indicate a compelling surge. As the index approaches significant resistance thresholds, careful monitoring is essential. Investors were advised to prioritize purchasing stocks with robust fundamentals, reasonable valuations, and promising Q2 prospects, while refraining from overly aggressive buying at overvalued prices.
BETA Securities expressed similar sentiments, suggesting that the market may require additional time to consolidate and absorb potential supply before launching a fresh rally. Their recommended strategy is to sustain moderate exposure, collect profits on stocks that have achieved targets, and maintain medium to long-term positions in strategic sectors benefiting from public investment, energy, infrastructure, and digital transformation policies.
Overall, the positive market trend was fueled by strong demand in key sectors, stabilizing liquidity, optimism over trade, and easing geopolitical tensions. These factors enabled the VN-Index to overcome resistance levels and surge despite underlying uncertainty and cautious investors [1][2][3].
[1] Vietnam Investment Review. (2025). Vietnam's stock market ends June on a positive note. [online] Available at: www.vietnam-investmentreview.vn. [Accessed 30 June 2025].
An investor monitors stock market movements at MB Securities Joint Stock Company. - VNA/VNS Photo
[2] Voice of Vietnam. (2025). VN-Index rises by nearly 2% on final trading day of June. [online] Available at: www.vov.vn. [Accessed 30 June 2025].
[3] Nikkei Asia. (2025). Scale of gains in Vietnam's stock market hints at concentration risk. [online] Available at: asia.nikkei.com. [Accessed 30 June 2025].
- Despite geopolitical unrest, the stock market in Vietnam concluded June 2025 on a positive note, with the VN-Index reaching a 3-year high, propelled by a surge in demand, particularly in large-cap and real estate stocks.
- The VN-Index's breakthrough above its previous high provides a promising signal, laying the groundwork for an advance toward the 1,380-1,400 zone and potentially even 1,420 points.
- The market may require additional time to consolidate and absorb potential supply before launching a fresh rally, according to BETA Securities, recommending moderate exposure, collecting profits on stocks that have achieved targets, and maintaining medium to long-term positions in strategic sectors such as energy, infrastructure, and digital transformation.
- Analysts at Saigon - Hanoi Securities urged caution regarding liquidity, suggesting that careful monitoring is essential as the index approaches significant resistance thresholds.
- Investors were advised to prioritize purchasing stocks with robust fundamentals, reasonable valuations, and promising Q2 prospects, while refraining from overly aggressive buying at overvalued prices.
- The positive market trend was fueled by strong demand in key sectors like technology and retail, stabilizing liquidity, optimism over trade, and easing geopolitical tensions, with the VN30 basket continuing to support the broader market.
