Vietnam Insight

Growing expectations for a Fed rate cut in September. US stock futures edged higher on Thursday after President Donald Trump announced a 100% tariff on imported semiconductors, excluding companies manufacturing within the US. The move, aimed at boosting domestic production, sparked mixed reactions in markets. In after-hours trading, Apple jumped over 3% after pledging to invest an additional $100 billion in US companies and suppliers over the next four years. That followed a 5.1% surge during Wednesday’s regular session. On Wednesday, the Dow rose 0.18%, the S&P 500 added 0.73%, and the Nasdaq Composite advanced 1.21%, driven by strong corporate earnings. Sentiment was also buoyed by rising expectations of a Fed rate cut in September, with odds climbing above 93% after weaker labor data. However, renewed trade tensions added a note of caution after Trump imposed a 25% tariff on Indian goods in response to New Delhi’s continued imports of Russian oil.

Correction pressure persist. VNINDEX closed at 1,573.71 (+26.56 points, +1.72%) with liquidity lower than the 20-session average. The market saw 247 advancing stocks and 78 declining ones. The strongest contributors to the market’s gain were TCB, VCB, and VHM, while VRE, FPT, and HVN contributed to the downside. Foreign investors recorded a net buy of approximately VND 527 billion, with FPT seeing a net sell of VND 776 billion.

Trading Strategy: Investors should limit disbursement in recovery sessions with low liquidity and wait for clearer confirmation of the uptrend. In technical correction sessions around 1,400-1,450 points, investors can consider partial disbursement in stocks with good business results and benefiting from market upgrade expectations. In case institutional cash flow does not reappear in the 1,400-1,450 point area, investors can reduce the proportion of stocks to manage risks.

Buy Recommendation: HDG