End of today session, the VN-Index dropped 1.93 points (-0.47%) to 412.55 points; the HNX-Index lost 0.49 points (-0.71%) to 68.70 points. The liquidity increase slightly back again. Excluding the put-through transactions, the matching volume rose to 26 million units on the HSX and 25 million units on the HNX. The total trading value on the both bourses rose to 900 billion dong. Foreigners were net sellers on the 2 bourses with -5.07 billion dong on the HSX and -5.8 billion dong on the HNX.

The market has declined more strongly today when some negative information appeared such as gasoline prices rose 900 dong /litter and the HSBC announced Vietnam PMI index continued to decline to 43.6 points in July from 46.6 points in June. This is a short-term factor that negatively impact on the share holders sentiment and push the equilibrium price a little lower than the previous days. Liquidity increased slightly is understandable when demand matched more as prices get lower.

The HNX’s reduction is quite negative when the index formed a relatively deep low intraday (68.21 points), while the VN-Index has not exceeded its 5-day fluctuating band yet. Currently, the HNX-Index has fallen very close to its old low, therefore the index is likely to get  a slight recovery tomorrow if reach the bottom. However, bottom picking action at the present time will be risky when the market is still quite weak. We therefore continue to suggest investors staying out and watching more the market performance in the future.