On May 5, 2025, the VN-Index saw a significant rise, closing up by 13.75 points, or 1.12%, reaching a total of 1,240.05 points. This upward movement was accompanied by a notable trading value on the HOSE floor, which reached 14,015 billion VND with over 591 million shares exchanged. The VN30 index also experienced a boost, increasing by 10.68 points (0.82%) to close at 1,320.41 points, reflecting a strong consensus among large-cap stocks. Additionally, the HNX-Index rose by 0.87 points (0.41%) to settle at 212.81 points, with nearly 43.2 million shares traded on the HNX, amounting to over 706 billion VND.
Market experts suggest that the stock market is regaining balance after a period of heavy selling pressure. They believe that the reduction in short-term supply and margin debt, along with corporate earnings results, are driving the market's recovery. However, many fundamental factors have weakened, leading to speculation that the VN-Index may continue to consolidate within a narrow range until clearer information regarding trade negotiations is available.
As the week progresses, the market is expected to establish a sideways fluctuation zone, creating a new price base in the short term as it awaits tariff-related information. Despite the current environment, there is a strong divergence between sectors and stock groups. Maintaining the VN-Index above the 1,200-point mark could encourage a rotation of funds among different stock groups in search of short-term profits. Investors are advised to take advantage of market rallies to realize profits on short-term positions or to adjust their stock portfolio weights to safer levels, especially as the VN-Index approaches resistance levels between 1,240 and 1,250 points.
For those considering trading, investors with a high cash ratio may look to partially invest in sectors such as securities, real estate, banking, public investment, retail, and consumer goods, particularly if the market experiences fluctuations during trading sessions.
In addition, May 2025 marks the operational launch of the KRX trading system, which is expected to positively impact the market. The implementation of the KRX system is anticipated to bring about significant improvements to Vietnam's stock market. The system's capability to support same-day trading (T+0) is expected to enhance market liquidity dramatically, with experts predicting that the matched order value in each session could reach up to 4 billion USD, equivalent to approximately 96 trillion VND, which is at least five times higher than the current average.
Furthermore, the introduction of a separate trading board for odd lots will facilitate participation from retail investors, making the market more vibrant and diverse. The features of short selling and the introduction of options products will also open up new investment opportunities and provide additional risk management tools, allowing investors to seek profits in both rising and falling market trends.
Turning to specific investment opportunities, shares of PGT Holdings (HNX: PGT) have been highlighted as a promising option for investors. PGT Holdings operates in multiple sectors, with subsidiaries both domestically and internationally, including in Myanmar and Japan. While the company has diversified its business, it is currently focusing on key areas such as mergers and acquisitions (M&A) and labor supply, which are crucial as foreign investors ramp up their investments and move production facilities to Vietnam.
The influx of foreign direct investment (FDI) into Vietnam is expected to accelerate M&A activities, creating a need for domestic companies to be proactive and enhance their capabilities to seize attractive collaboration opportunities. PGT Holdings aims to act as a consistent intermediary supporting business activities, from connecting buyers and sellers to providing business support such as due diligence and post-merger integration in legal and accounting matters. This positions PGT as a bridge facilitating domestic and international companies in their sustainable development partnerships.
As of the close on May 5, 2025, PGT shares were priced at 10,300 VND.
After two days of subdued trading leading up to the holiday, the market appears to have regained its enthusiasm, with closing prices nearly at their peak for the trading session on May 5. In the final 30 minutes of trading, a surge in demand emerged, particularly among mid-cap and small-cap stocks, spreading positive momentum across various sectors.
Leading the market's charge were VHM and VIC, which continued to support the index, while a few large-cap stocks like VCB and VNM experienced slight declines, but their impact on the VN-Index was minimal. Although the upward momentum may not yet be fully convincing due to low liquidity, investors are interpreting this as a positive sign of the market's determination to reclaim resistance levels between 1,270 and 1,300 points—critical benchmarks before the announcement of reciprocal tariff information.
Despite the VN-Index closing at 1,240.05 points on May 5, representing a 13.75-point increase (+1.12%), liquidity remained equivalent to the previous session but was down by 43.2% compared to the 20-session average. By the end of the trading session, liquidity on the HSX reached 591 million shares (-11.9%), with a transaction value of 14,015 billion VND (-9.6%). The market breadth was decidedly bullish, with 18 out of 21 sectors recording gains. The fertilizer sector led the way with a 4.91% increase, followed by industrial real estate at 4.01%, and chemicals at 3.57%. Conversely, consumer staples (-1.16%), sugar (-0.47%), and insurance (-0.29%) faced downward pressure.
Foreign investors returned to net buying in the afternoon session, with a net buying value of 130 billion VND at the close. The stocks facing the most selling pressure included FPT (-231 billion VND) and VCI (-78 billion VND). In contrast, the stocks that saw the highest net buying from foreign investors were VRE (+132 billion VND), MSN (+41 billion VND), and NLG (+40 billion VND).
Looking ahead to May 6, market analysts from CSI have noted that the VN-Index is starting the new week positively after the holiday. The new KRX trading system, combined with the positive recovery of major global stock indices prior to the holiday, has contributed to a more optimistic outlook for the VN-Index. However, the caveat remains that liquidity has not exploded (with matched order volume down by 43.2% compared to the 20-session average), indicating that the strong upward momentum has yet to be confirmed. Most investors are exercising caution, awaiting additional information about the upcoming trade negotiations between the U.S. and Vietnam on May 7, 2025, before making trading decisions.
The VN-Index continues to show signs of recovery, with expectations of reaching resistance levels between 1,270 and 1,300 points—key benchmarks before the announcement of reciprocal tariff information. Currently, CSI maintains its position of holding portfolios and waiting for a confirmed positive trend (with the VN-Index surpassing 1,247 points with volumes exceeding the 20-session average) to increase stock holdings.
