Vietnam Insight

The Fed cut rates as expected and signaled one rate cut in 2026. US stock futures were mixed on Thursday as investors digested the Federal Reserve’s latest rate cut, which drove an afternoon rebound on Wall Street. Dow futures rose 0.1%, while S&P 500 and Nasdaq 100 futures slipped 0.1% and 0.2%, pressured by a sharp selloff in Oracle. The AI-focused cloud provider plunged more than 10% in extended trading after missing revenue estimates and raising its spending forecast, reviving concerns about the durability of AI-related investment cycles. The report triggered fresh concerns about the sustainability of AI investments. In regular trading on Wednesday, the Dow rallied 1.05%, the S&P 500 gained 0.67% and the Nasdaq Composite added 0.33%. Those moves came as the Fed delivered its third quarter-point rate cut this year, while signaling a more gradual path of easing next year. Chair Jerome Powell also indicated that further hikes are unlikely and reiterated confidence in the resilience of the US economy.

Pullback at the 1,800 resistance zone. VNINDEX closed at 1,718.98, marking a decrease of 28.19 points or 1.61%. Trading volume was lower than the 20-day average. The market saw 121 advancing codes and 188 declining codes.The stock group contributing the most to the index's gain included MBB, HDB, and CTG, while the stocks hindering the market were VIC, VHM, and VPL. Foreign investors were net sellers with a value of 367 billion VND. Specifically, VIC alone was net sold for over 307 billion VND.

Trading Strategy: The sharp decline in the VIC group dragged the index lower, but several sectors are showing signs of strong price support. Notably, banking, utilities, basic resources, and financial services; investors may continue monitoring these groups to prepare an appropriate deployment strategy.