VN-Index drops nearly 70 points on “Black Monday”

In the context of the lack of supportive information in the domestic market, bad news from the global stock market gave the final blow to the VN-Index, causing Vietnam’s benchmark to make the worst nosedive in history.

The bottom-fishing cash flow could only help the VN-Index turn green for a split second in the morning trading session before being swept away by a sell-off storm. Meanwhile, the ATO orders appeared in all stocks groups, from basic stocks to speculative ones.

In this sell-off storm, the number of losers in the VN30 group reached 30 out of 30 stocks. Without support from large-cap stocks, the VN-Index plunged steeply. Sometimes, the index slashed more than 80 points and fell below the 1,300-point mark in the confusion of both sellers and buyers, who were surprised not to understand what was happening.

It is the sharpest loss in the stock market's trading history. Many investors even called this trading session the “Black Monday” of Vietnam's stock market. Previously, in the morning trading session of January 19, 2021, the VN-Index recorded a decrease of nearly 75 points.

When the buyers no longer expected the market's recovery, the bottom-fishing cash flow also stopped, instead of pouring in heavily, like in previous corrections. It is the reason why the market had the largest drop ever.

Closing the trading session on April 25, the VN-Index plummeted 68.31 points, or 4.95 percent, to 1,310.92. The number of losing stocks also hit a record on the Ho Chi Minh City Stock Exchange (HoSE) with 443 losers. Of these, 181 stocks hit the floor.

Notably, the list of largest losers had the presence of several stocks in the VN30 basket, such as BID, BVH, CTG, FPT, GAS, GVR, HPG, MWG, PNJ, POW, SAB, SSI, STB, PLX, SSI, TCB, and VJC.

On the other hand, on the HoSE, only 37 stocks remained in the green, with four hitting the ceiling. Especially, the upstream stocks in today's trading session included stocks related to Trinh Van Quyet, Chairman of FLC Group, namely FLC, ROS, AMD, and HAI.

The hesitation of bottom-fishing cash flow caused market liquidity to decrease compared to the last trading session. Specifically, the trading volume in the whole session was only 762 million shares, equivalent to a trading value of more than VND21.94 trillion (nearly US$954.39 million).

On the Hanoi Stock Exchange, the HNX and UPCoM-Index also recorded the highest drop ever. Specifically, the HNX-Index sank 21.61 points or 6.2 percent, while UPCoM Index declined 4.61 points or 4.42 percent.

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