Vietnam Stocks Slide for Seventh Session, Marking Deepest Drop Since 2018

VN-Index sheds nearly 100 points as foreign selling and blue-chip pressure rattle Southeast Asia’s frontier market

Vietnam’s stock market has entered its most prolonged downturn in seven years, a move closely watched by global investors assessing risk appetite across emerging and frontier markets. After seven consecutive losing sessions, the VN-Index has fallen nearly 100 points, underscoring how quickly sentiment can shift in one of Southeast Asia’s fastest-growing economies.

The benchmark closed around 1,803 points on Tuesday, down 27 points on the day and roughly 100 points from last week’s peak. The last time Vietnam experienced a comparable correction was in late 2018, when the index hovered near 900 points and global markets were grappling with tightening liquidity and trade tensions. Today’s sell-off, however, comes despite Vietnam’s stronger macro fundamentals and continued appeal as a manufacturing and investment hub.

At the center of the decline is Vingroup, Vietnam’s largest corporate conglomerate and a bellwether for domestic equities. Heavy selling in VIC, VHM, VRE, and related stocks erased an estimated 24 points from the index, according to VNDirect Securities. VIC, the market’s largest-cap stock, fell to its floor price, while VHM and VRE briefly wiped out earlier gains before closing sharply lower. The pressure on Vingroup stocks weighed heavily on market psychology, triggering broader risk-off behavior.

The weakness spilled into key sectors. Banking shares—including ACB, VCB, BID, SHB, and VPB—ended lower, amplifying the index’s losses, while construction stocks such as VCG, CTD, and HTN extended their corrections. By contrast, pockets of resilience emerged. Oil and gas names like GAS, PVD, PVT, and BSR rose 2–4%, benefiting from stronger energy prices, while select real estate developers and steelmakers posted modest gains, suggesting capital rotation rather than a full market retreat.

Liquidity surged on the Ho Chi Minh City Stock Exchange, with turnover jumping to nearly VND 34 trillion, a notable increase from the previous session. VHM and VIC dominated trading value, joined by FPT and VIX, signaling heightened activity rather than investor disengagement. Yet foreign investors added to the pressure, selling a net VND 1.8 trillion—the heaviest outflow in nearly two months—largely concentrated in banking stocks, a key sector for international funds tracking Vietnam’s growth story.

For global investors, the sell-off raises a familiar question: is this a warning sign or a reset? Analysts at Vietcombank Securities argue the latter, noting that capital is still circulating and selectively backing outperforming stocks. Their view suggests Vietnam’s market correction may be less about fundamentals deteriorating and more about valuation discipline and risk recalibration.

The coming sessions will be critical. If selling pressure in heavyweight stocks eases and foreign flows stabilize, Vietnam’s market could attract bargain hunters seeking exposure to Southeast Asia’s long-term growth. The deeper question for investors is whether this correction marks a temporary pause—or the start of a more meaningful repricing in one of Asia’s most closely watched frontier markets.