Vietnam Insight

The likelihood of rate cuts in 2026 remains unclear. US stock futures climbed Tuesday after President Donald Trump approved a deal allowing Nvidia to resume shipments of its H200 AI chips to China. Nvidia shares rose more than 2% in after-hours trade. Trump also said that only “approved customers” in China and other regions will be able to buy Nvidia’s H2200 chips, with 25% of the sales value going to the US government. Investors also looked ahead to the start of the Federal Reserve’s two-day policy meeting, where a 25 basis point rate cut is widely expected. However, the outlook for 2026 is less clear, with analysts expecting a “hawkish cut” in which Chair Jerome Powell signals caution on further easing. In Monday’s regular session, the Dow fell 0.45%, the S&P 500 slipped 0.35% and the Nasdaq Composite dipped 0.14%. Ten of the 11 S&P sectors ended lower, with technology the only gainer.

Approach the key resistance 1,800. VNINDEX closed at 1,753.74 (+12.42 points, +0.71%) with liquidity decreasing and lower than the average of the last 20 sessions. The market had 104 stocks increasing and 217 stocks decreasing. The stocks that contributed the most to the index's increase were VIC, VHM and SAB; the stocks that hindered the market were LPB, TCB and VCB. Foreign investors net sold VND 1,839.64 billion. VPL alone was net sold over VND 1,500 billion, followed by VIC and SSI.

Trading Strategy: Investors need to be selective in choosing stocks, as the VNINDEX is being heavily influenced by movements in the VIC group. Medium- and long-term investors can start gradually disbursing into sectors with solid earnings and attractive valuations, such as banking, financial services, and construction materials. Short-term investors can focus on stocks showing improving liquidity and prices, such as utilities, industrial parks, and technology…

Buy Recommendation: GAS