Vietnam Insight

The US and China will hold trade talks in London on June 9. US stock futures held steady on Monday as investors prepared for a week packed with potential market-moving developments. President Donald Trump announced on Friday that US and Chinese officials will hold trade talks in London later today, following a phone call with Chinese President Xi Jinping last week. On the economic front, key inflation data is on the horizon. The US Consumer Price Index report is due Wednesday, followed by the Producer Price Index on Friday. These reports could provide insight into how current tariffs are impacting prices and the broader economy. Additionally, a fresh consumer sentiment reading from the University of Michigan is scheduled for release on Friday. In corporate news, Apple kicks off its 2025 Worldwide Developers Conference on Monday, drawing attention from tech investors and analysts. Last week, the Dow rose 1.17%, the S&P 500 gained 1.5%, and the Nasdaq Composite climbed 2.18%, with all three benchmarks notching a second straight winning week.

Resistance around the recent peak. VNINDEX closed at 1,329.89, down 12.2 points or 0.91%, with trading volume remaining around average. The market saw 76 gainers and 233 losers, indicating sector-specific divergence during the session.Stocks that contributed most significantly to the market's rise were HPG, PLX, and STB, while TCB, VIC, and GVR were the primary contributors to its decline. Foreign investors were net sellers, offloading 2,071 billion VND, mainly in VCI and FPT shares.

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.