Vietnam Insight

Geopolitical tensions are cooling off, and there's rising optimism about interest rate cuts. US stocks surged on Thursday, with the S&P 500 reaching all-time high and Nasdaq 100 topping its previous session's record closes, driven by easing geopolitical tensions, strong tech performance, and rising hopes for interest rate cuts. The S&P 500 rose 0.8%, while the Nasdaq added 1% and the Dow advanced 390 points. Optimism grew after the White House downplayed upcoming tariff deadlines, calming investor concerns about a trade war. At the same time, talk of President Trump naming a new Fed chair earlier than expected fueled speculation about a shift toward looser monetary policy. Meanwhile, fresh economic data showed the US economy contracted more than anticipated in Q1 by an annualized 0.5% and the goods deficit unexpectedly widened due to lower export.

Upward trend. VNINDEX closed at 1,365.6 (down 1.08 points, or 0.08%) with a decrease in liquidity. The market saw 141 advancing stocks and 155 declining stocks. The stocks contributing most significantly to the market's gain were MSN, GAS, and MBB, while VHM, VIC, and VCB contributed to the market's decline. Foreign investors net sold approximately 270 billion VND, primarily in HPG and FPT

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