Vietnam Insight

US futures plunge on Trump tariffs. US stock futures plunged on Monday after President Donald Trump imposed new tariffs on major trading partners over the weekend, sparking concerns about the potential impact on the economy. The US introduced a 25% tariff on goods from Mexico and Canada, alongside a 10% levy on imports from China. In response, Canada announced retaliatory tariffs, while Mexico indicated it would consider imposing its own levies on US goods. China, in turn, stated its intention to file a lawsuit with the WTO.

The trend is improving. Short-term sideways trend. The VNINDEX closed at 1,265.05 (+5.42 points, +0.43%) with higher-than-average 20-session volume. Leading stocks drove the gains, particularly in the banking and securities sectors. The VN-Index closed the week at 1,265 points (+15.94 points; +1.28%) with continued low volume. The market overcame the important resistance level of 1,255 points thanks to the efforts of large-cap stocks. The VN-Index is expected to retest the 1280 resistance zone.

Trading Strategy: The market is currently trending towards a sideways trading pattern. For short-term trading, investors can consider deploying capital around the 1,240-point range and gradually take profits as it approaches 1,300 points. With a buy-and-hold strategy, investors can deploy additional capital when the VN-Index breaks out of and successfully defends the 1,300-point zone.

Buy Recommendation: BMP