A BIDV bank branch in Cao Bằng Province. BID's shares led the decliners on Wednesday. — Photo courtesy of BIDV

HÀ NỘI — The stock market saw significant declines on the first Wednesday of December, with the VN-Index retreating close to the 1,240-point mark as foreign investors extended their net-selling trend.

On the Hồ Chí Minh Stock Exchange (HoSE), the VN-Index closed at 1,240.41 points, down by 9.42 points or 0.75 per cent.

Market breadth remained negative, with 216 stocks declining, 102 advancing and 50 remaining unchanged. Liquidity slightly decreased to VNĐ13.9 trillion (US$547.1 million), a drop of 10.8 per cent compared to the previous session.

The VN30-Index, which tracks the top 30 stocks by market capitalisation on HoSE, also declined by 11.37 points or 0.87 per cent to close at 1,297.81 points. Of the VN30 stocks, 25 fell while only five advanced.

Banking and real estate stocks led the market's downturn. The Bank for Investment and Development of Vietnam (BID) experienced the steepest drop, down 1.95 per cent, which erased more than 1.2 points from the VN-Index.

This was followed by the Vietnam Joint Stock Commercial Bank for Industry and Trade (CTG), down 1.67 per cent, and Vinhomes JSC (VHM), which fell by 1.96 per cent.

The market's losses were partially offset by gains in a few large-cap stocks, led by the Bank for Foreign Trade of Vietnam (VCB), which rose 0.54 per cent, contributing nearly 0.7 points to the VN-Index.

Other notable gainers included Saigon Beer - Alcohol - Beverage Corporation (SAB), which increased by 2.14 per cent, and Viettel Post Joint Stock Corporation (VTP), which surged by 6.27 per cent.

Experts from Việt Dragon Securities remarked: “The market’s attempt at recovery failed, pushing the VN-Index back to the 1,240-point range. Liquidity decreased compared to the previous session, indicating cautious investor sentiment amid selling pressure. Current downward movements highlight unclear support signals, even as the market approaches the 1,235-point support level.”

They added, “The market is expected to remain under downward pressure in the next session, potentially entering oversold territory below 1,240 points to test support from cash flows. Supply-demand signals in this oversold zone will influence the market’s subsequent direction.”

“Investors are advised to remain cautious, monitor supply-demand dynamics closely and manage portfolios prudently. The market’s stability is still low, and risks remain, so it is important to avoid overexposure to stocks at this time.”

On the Hà Nội Stock Exchange (HNX), the HNX-Index also closed lower on Wednesday, declining by 0.3 per cent to 224.62 points.

Nearly VNĐ930 billion worth of shares were traded, with a total volume of almost 52 million shares on the northern bourse.

Foreign investors continued their net-selling trend, offloading over VNĐ650 billion worth of shares on the HoSE. — VNS