Vietnam Insight

Highlights:

• On May 29, a U.S. federal appeals court approved the Trump administration's request to temporarily suspend the enforcement of a lower court's ruling.
• On May 28, General Secretary To Lam called for an end to the state monopoly in gold bullion production, allowing qualified enterprises to participate. This aims to foster fair competition, diversify supply, and stabilize prices.

Technical view: The VN-Index closed the week at 1,332.6 points (+18.14 points; +1.38%) with high liquidity on the weekly chart. The market continued to be mainly driven by VIC and VHM, while other sectors remained relatively weak. In the short term, a pullback may occur as the RSI approaches overbought territory (70), and overall market breadth remains limited. However, the index staying above its 20-day moving average suggests the medium- to long-term uptrend remains intact.

Investment ideas: Investors should temporarily refrain from buying stocks that have already surged, as profit-taking could lead capital to rotate into stocks trading below their 200-day or 50-day moving averages. For new positions, preference should be given to real estate and banking stocks that are trading near their lows and have shown base-building patterns. However, allocations should remain conservative.