Vietnam Insight

President Trump announced a ceasefire timeline between Israel and Iran, helping to improve market sentiment. US stock futures climbed on Tuesday after President Donald Trump announced a ceasefire timeline between Israel and Iran, referring to the conflict as “The 12-Day War.” The news helped calm investor nerves following a weekend escalation in which the US struck Iranian nuclear sites, effectively joining Israel’s conflict with Tehran. Iran’s response—a limited strike on a US base in Qatar—caused no casualties, helping to reverse the spike in oil prices and pressuring energy stocks. In Monday’s regular session, the Dow rose 0.89%, the S&P 500 gained 0.96%, and the Nasdaq advanced 0.94%, driven by easing geopolitical fears and strong corporate news. Investors now await Federal Reserve Chair Jerome Powell’s testimony before Congress on Tuesday and Wednesday for further clues on the outlook for interest rates.

MA20 resistance test. The VNINDEX closed at 1,358.18 (+8.83 points, +0.65%) with liquidity returning to the 20-day average. The market saw 120 advancing stocks and 205 declining stocks, with the real estate and energy sectors being significant positive contributors. The stocks contributing most to the market's gain were VIC, VHM, and GAS, while VCB, HVN, and VMN contributed to its decline. Foreign investors were net sellers of 164 billion VND, primarily in VCI and VNM. 

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: MWG