Vietnam Insight

US futures steady ahead of pce inflation data. US stock futures were little changed on Friday as investors awaited the latest PCE price index, the Federal Reserve’s preferred inflation gauge, for further clarity on the rates outlook. On Thursday, the Dow slipped 0.38%, while the S&P 500 and Nasdaq each lost 0.5%, marking a third consecutive decline for all three benchmarks. Equities retreated as stronger-than-expected US data dampened hopes for deeper Fed rate cuts. Weekly jobless claims fell to 218K, underscoring labor market resilience, while second-quarter GDP growth was revised sharply higher to 3.8% annualized on solid consumer spending and business investment.

Sideway waiting for further news. VNINDEX closed at 1,666.09 (+8.63 points, +0.52%) with liquidity lower than the 20-session average. The market had 188 gainers and 126 losers. The stocks that contributed the most to the market's increase were VIC, VHM, BSR while VPB, FPT, HVN contributed to the market's decline. Foreign investors net sold more than VND2,063 billion, concentrated in VPB and FPT.

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.