Vietnam Insight

Highlights:

• On June 24, the State Bank of Vietnam (SBV) resumed the issuance of treasury bills after nearly four months of suspension—an important move in its monetary policy management—amid the USD/VND exchange rate continuing to climb to new record highs.
• On June 23, the State Treasury announced its plan to purchase foreign currency from commercial banks, with a maximum projected volume of USD 100 million.
• As of June 24, the Vietnamese dong (VND) had depreciated by approximately 2.6%–3% on the official market and 2.2% on the unofficial (black) market.

Technical View: The VN-Index closed the week at 1,371.4 points (+22.09 points, +1.64%), primarily driven by large-cap real estate stocks like VIC and VHM, as well as a strong contribution from MSN. The overall market remains in a healthy uptrend, but market breadth is limited, meaning the gains are not broadly distributed.

Investment Idea: Investors should refrain from initiating new positions in stocks that have already risen sharply, as profit-taking may occur and capital could shift to underperforming stocks trading below the MA200/MA50. For new positions, consider sectors such as real estate, steel, and banking, which are currently at low price bases with established accumulation zones — but keep new allocations conservative.