Vietnam Insight

Highlights:

• As of August 26, the overall credit growth is at 6.63 per cent against the end of 2023, much lower than the growth target set at 15 per cent for the full year
• The SBV announced that Banks whose outstanding loans have so far reached 80 per cent of the credit growth quota allocated by the State Bank of Việt Nam (SBV), will be automatically allowed to expand credit room based on their ranking
• Nvidia reported Q2/2024 earnings that exceeded expectations, however, the US market reacted negatively due to Nvidia's Q3/2024 revenue forecast falling significantly short of market expectation

Technical view: The VNINDEX closed the week at 1,283.8 points (-1.45 points, -0.1%), indicating a sideways market with significantly decreased trading volume and a narrow trading range. The short-term uptrend remains intact, and the VN-Index will face resistance at the 1,290-1,300 point level.

Investment ideas: We recommend investors can buy stocks with a moderate weight, while waiting for the important information as mentioned. The notable stock group is the Banking sector, especially those banks that can benefit from increasing outstanding loans due to good credit growth from the beginning of the year.