After the VN-Index dipped below the reference level toward the end of the morning session due to heavy profit-taking in the blue-chip group, strong buying demand quickly returned, helping the benchmark index reverse course and close in positive territory.

Investor sentiment significantly improved as capital flows began to spread across multiple sectors, rather than concentrating solely on large-cap stocks. Despite ongoing market divergence, overall trading became more upbeat, reflecting a revival in market confidence fueled by a major boost from reclassification news.

In the early hours of the same day, FTSE Russell announced the upgrade of Vietnam’s stock market from “Frontier” to “Secondary Emerging” status, marking the end of a seven-year wait since Vietnam was first added to the watchlist.

The index provider also affirmed that it would continue to monitor the country’s reform efforts ahead of its interim review in March 2026. If all conditions are met as scheduled, Vietnam could be officially reclassified in September 2026.

Following this milestone announcement, the VN-Index at one point surged more than 18 points in the afternoon session, driven by renewed inflows into banking, steel, retail, and securities sectors. However, the rally lost momentum toward the close as short-term profit-taking returned, trimming gains.

At the end of the session, the VN-Index rose 12.53 points (+0.7%) to close at 1,697.83 points, marking its highest closing level ever on the Ho Chi Minh Stock Exchange (HoSE). Meanwhile, HNX-Index gained 0.47 points (+0.2%) to 273.34 point, and UPCoM-Index advanced 0.19 points (+0.2%) to 110.43 points.

Total market liquidity reached more than VND36.4 trillion (equivalent to US$1.49 billion, up nearly 30% from the previous session, suggesting that investors remain proactive, despite a lingering sense of caution.

Investors cautious despite stock market upgrade boost

VOV.VN - Vietnam’s stock market experienced a brief surge on October 8 after FTSE Russell announced Vietnam’s upgrade from Frontier to Secondary Emerging Market status, but cautious investor sentiment and profit-taking quickly reversed the gains.