Vietnam Insight

Struggles amid trade worries. On Tuesday, the S&P 500 and Nasdaq Composite rose 0.38% and 0.87%, respectively, while the Dow edged down 0.03%. Nine of the 11 S&P sectors advanced, led by consumer discretionary, technology, and communication services. Meanwhile, economic data signaled ongoing weakness in the factory sector, which contracted again in March, with price pressures at their highest since 2022. Job openings fell to 7.57 million, missing expectations. The ISM Manufacturing PMI fell to 49 in March 2025 from 50.3 in February, below forecasts of 49.5. The reading pointed to the first contraction in factory activity in three months, after expanding only marginally in February.

The VNINDEX regained points, closing at 1,317.33 (+10.47 points, +0.80%) with below-average liquidity. 1  The market had 308 gainers and 133 losers. The stocks that contributed the most to the market's gains were VHM, VIC, and VCB, while GVR, FRT, and MSN contributed to the market's losses. The banking and real estate sectors contributed to the gains. Foreign investors were net sellers of 440 billion VND, mainly focusing on SSI and MSN.   

Trading Strategy: The market has shown positive signals, breaking out of the sideways trading channel. The VN-Index is likely to maintain its uptrend to reach 1,350 points. After several consecutive rising sessions, the VN-Index may experience alternating declining sessions in the coming weeks. Investors can increase their positions during these declining sessions with average liquidity and a narrow spread. In a negative scenario, if the 1,280-1,300 point level is lost, investors may reduce their portfolio weight to manage risk.

Buy Recommendation: PLX