Vietnam Insight

U.S. stocks performed positively after the rate cut news. US stock futures edged higher on Friday after all three major indexes closed at record highs in the prior session, supported by the Federal Reserve’s latest rate cut. On Thursday, the Dow added 0.27%, the S&P 500 climbed 0.48% and the Nasdaq Composite jumped 0.94%. Seven of the 11 S&P sectors advanced, led by technology, industrials and communication services. Among individual movers, Intel soared about 23% after Nvidia unveiled a $5 billion investment to co-develop chips, while Nvidia rose 3.5%. Other notable gainers included Palantir (5.1%), Coinbase (7%) and CrowdStrike (12.8%). Earlier in the week, the Fed delivered a 25 basis point cut and projected two more reductions this year, while signaling just one cut in 2026. Meanwhile, no major economic data or earnings reports are scheduled for Friday.

Stagnant around the peak. VNINDEX closed at 1,665.18 (-5.79 points, -0.35%) with liquidity lower than the 20-session average. The market had 108 gainers and 208 losers. The group of stocks that contributed the most to the market's increase were VIC, VHM, STB while VCB, FPT, VNM contributed to the market's decline. Foreign investors net sold more than VND1,517 billion, concentrated in VIC, VHM, SSI.

Trading Strategy: Prioritize a hold strategy while being ready to sell when targets are achieved. For short-term traders: if the market corrects toward 1,600 and bounces, consider deploying a small allocation. If the index retreats to the 1,540 region, this would present a clearer medium-term buying opportunity. Investors can allocate more aggressively, focusing on stocks with strong drivers such as beneficiaries of the upgrade, companies with robust earnings growth, or those with valuations below the market average.