Vietnam Insight

Stable performance. US stock futures climbed on Thursday after Nvidia posted stronger-than-expected quarterly results. Futures tied to the Dow, S&P 500, and Nasdaq 100 each rose more than 1%. In extended trading, Nvidia shares jumped over 5% as the chipmaker reported first-quarter earnings and revenue that beat estimates, driven by a 73% year-over-year surge in its data center business. The results underscore continued strong demand from the artificial intelligence sector, despite headwinds from US export restrictions to China. CEO Jensen Huang noted that the company is leaving billions in potential revenue untapped due to limitations on sales to China. Wednesday's regular session ended lower, with the Dow down 0.58%, the S&P 500 off 0.56%, and the Nasdaq Composite slipping 0.51%, as trade tensions reemerged following reports that the Trump administration urged US firms to halt some semiconductor software sales to China.

Resistance around the recent peak. VNINDEX closed at 1,341.87 (+2.06 points, +0.15%) with liquidity around the average level. The market had 139 stocks increasing and 189 stocks decreasing, with differentiation between industry groups during the session. The stocks contributing the most to the market's increase were VIC, VHM, VRE while GEE, HVN, HDB contributed to the market's decrease. Foreign investors net sold more than 198 billion, the value mainly concentrated in VCI and VNM stocks.

Trading Strategy: Investors are temporarily holding off on buying stocks that have already seen strong gains, as capital may shift toward stocks trading below their 200-day or 50-day moving averages. For new buying positions, priority can be given to real estate and banking stocks that are trading at low levels with a consolidation base; however, the allocation should remain modest.

Buy Recommendation: HDB KDH