Vietnam Insight

Highlights:

• New projections released after the meeting show that Fed officials expect two more interest rate cuts of 0.25 percentage points each before the end of the year, according to the median estimate.
• Gold surged past the $4,000/ounce mark for the first time, signaling a rush into alternative assets amid concerns over the U.S. economic outlook and the country’s global standing, The Wall Street Journal reported.

Technical View: The VN-Index closed the week at 1,747.55 points (+101.7 points, +6.18%), forming a strong bullish candle that ended near the session high, accompanied by improved liquidity. Despite foreign investors’ net selling after the upgrade news, domestic capital inflows remained strong enough to push the index to a new record high. With this week’s gain, the probability of the index advancing toward 1,800 points is high. However, market breadth remains limited, as the rally was primarily driven by the VIN group stocks.

Investment Idea: Prioritize a holding strategy and limit new purchases during breakouts. New buying opportunities may emerge if the VN-Index successfully tests and holds the 1,700-point zone. Investors can focus allocations on stocks with strong catalysts, such as beneficiaries of the market upgrade, companies with strong earnings growth prospects toward the end of 2025, or those trading at valuations lower than the overall market.