Vietnam Insight

Mr. Trump softens his tone to reassure. US stock futures were little changed on Tuesday after the major averages started the week on a positive note as President Donald Trump softened his tone on China, assuring that trade relations will be fine. On Monday, the Dow rose 1.29%, the S&P 500 gained 1.56%, and the Nasdaq Composite jumped 2.21%, with all three benchmarks recovering about half of Friday’s losses. Trump’s comments helped calm fears of an escalating trade war after last week’s threat of a 100% tariff on Chinese goods erased roughly $2 trillion in market value. Megacap tech stocks led the rebound, with Tesla, Nvidia, and Broadcom climbing between 2.8% and 9.9%. Quantum computing, clean energy, and rare earth stocks also outperformed, including Rigetti Computing (25%), Oklo (16.2%), and MP Materials (21.2%). Investors now await quarterly results from major banks including JPMorgan Chase and Goldman Sachs later in the day.

Uptrend. The VNINDEX closed at 1,765.12 (+17.57 points, +1.01%), with liquidity continuing to improve above the 20-session average. The market saw more declining stocks than rising stocks, with 119 gainers and 187 losers. The stocks contributing most significantly to the market's rally were VIC, TCB, and VRE; those contributing to the market's decline were VCB, HPG, and FPT. Foreign investors resumed strong net selling, totaling 1,234 billion VND

Trading Strategy:  Prioritize a holding strategy and limit new purchases during breakouts. In a positive scenario, if the VN-Index successfully tests and holds the 1,700 level, investors can consider increasing exposure during subsequent pullbacks to ride the upcoming uptrend. If the market retreats to around the 1,600 zone, clearer buying opportunities will emerge — investors may focus allocations on stocks with strong catalysts such as re-rating benefits, robust earnings growth, or valuations that remain lower than the broader market.