A modest rebound on Friday on the HCM City Stock Exchange helped hold the VN-Index to a close of 520.72 points, a cumulative loss on the week of 3.93 percent.
The average daily value of trades during the week fell 33.8 per cent to just over VND2 trillion (US$109 million) on an average volume of 60.6 million shares.
Saigon Securities Inc (SSI) claimed the spot as the most-active share for the week, with a volume of 15.5 million shares.
Shares on the Ha Noi Stock Exchange fared more poorly, with the HNX-Index closing down for five straight sessions to a close last Friday of 172.71 points, an overall loss in value of 6.3 per cent.
Average daily volume on the northern bourse dropped by about 24.5 per cent from the previous week to 46.5 million shares, on an average daily volume of VND1.7 trillion ($88 million). PetroVietnam Construction (PVX) led trading on both bourses, with a volume of nearly 35.8 million shares.
FPT Securities Company analyst Tran Van Quy said that many loans taken out in past months when leveraged buying was prevalent were now coming due, causing investors to sell in order to service the loans.
Ngo Thanh Phat, Head of analysis for Viet Nam International Securities Company, told stocknews.com that a lot of investors were simply cutting losses in the current market, adding the the current correction.
Phat disagreed that penny-stock investments made possible by leverage were signficant enough to create the current alteration in the market, pointing to the impact of global concerns over the Greek debt crisis as a likelier factor.
Despite those worries, however, foreign investors remained net buyers on the HCM City market last week, he noted, picking up a net of 1.8 million shares worth a combined VND164.1 billion ($8.6 million). They were sellers in Ha Noi, meanwhile, by a net of just 775,700, worth VND13.3 billion ($700,000).
The herd mentality continued to drive domestic investors, Phat added, and the local sell-off last week was heavy enough to force a market correction.
"The Friday rebound hinted at a pause to the market correction," added Quy, suggesting that more positive market moves were in store in the coming week, with the VN-Index likely to range within 515-530.
Nguyen Thanh Tuyen, Head of brokerage at Vien Dong Securities Company, also said that investors had begun to turn their attention back to blue chips, due to their stability. He also predicted the market would remain in a consolidating phase through the end of the month, with a dramatic rally unlikely.