As the market enters a correction and consolidation phase, investors are likely to remain cautious in the coming week and the VN-Index may retest the key support level of 1,300 points, experts say.

The Ministry of Finance has proposed tightening discipline in the stock market with stringent measures, significantly increasing fines for violations related to private offerings, margin trading, and misconduct by licensed professionals to protect investors and mitigate systemic risks.

Following a volatile session on Thursday, the market opened in positive territory but quickly slipped as weak buying momentum failed to hold up gains.

The stock market extended its mild downtrend on Thursday, with the VN-Index edging closer to the 1,320-point threshold. Liquidity also weakened slightly, while foreign investors continued their net-selling streak for the eighth consecutive session, albeit at a reduced volume compared to previous days.

Trading liquidity fell to VNĐ18.8 trillion (approximately US$734.9 million), down 16.1 per cent from the previous session.

On the HoSE, the VN-Index rose slightly by 1.6 points, or 0.12 per cent, to close at 1,331.92 points.

The VN-Index climbed back above the 1,330-point threshold with improved liquidity, although foreign investors extended their net-selling streak for the fifth consecutive session.