Vietnam Insight

The Fed held interest rates steady despite pressures from Trump. US stock futures rose sharply on Thursday, lifted by strong earnings results from tech heavyweights Meta Platforms and Microsoft. Futures tied to the S&P 500 and Nasdaq 100 advanced 0.7% and 1%, respectively, while Dow futures gained 0.2%. In extended trading, Meta surged roughly 12% after reporting robust quarterly results and issuing an upbeat outlook for Q3 sales. Microsoft jumped around 8% after beating earnings expectations and revealing that annual revenue from its Azure cloud division had surpassed $75 billion. On Wednesday, regular trading saw the Dow slip 0.38% and the S&P 500 edge down 0.12%, while the Nasdaq Composite rose 0.15%. Those moves followed the Federal Reserve’s decision to hold interest rates steady as officials evaluate the inflationary effects of President Trump’s recent tariff increases. The decision was not unanimous, with Fed governors Michelle Bowman and Christopher Waller voting in favor of a 25 basis-point rate cut.

Correction pressure emerged. VNINDEX closed at 1,507.63 (+14.22 points, +0.95%) with liquidity equal to the 20-session average. The market had 223 gainers and 111 losers. The stocks that contributed the most to the market's growth were VPB, CTG, BID while VIC VHM SSB contributed to the market's decline. Foreign investors net bought about 1,520 billion, mainly focusing on SHB, VIX, VNM.

Trading Strategy: During technical correction sessions around 1,400-1,450 points, investors can consider gradually disbursing funds into stocks with good business results that stand to benefit from the expectation of a market upgrade. If institutional cash flow does not reappear in the 1,400-1,450 point range, investors can reduce their stock proportion to manage risk.

Buy Recommendation: NT2 FRT