Vietnam Insight

President Donald Trump’s move to impose new tariffs on European countries. US stock futures fell on Tuesday as Wall Street reopened after the holiday-extended weekend, pressured by President Donald Trump’s threat to impose new tariffs on European countries opposing his proposal to purchase Greenland. Trump warned that eight NATO members, namely Denmark, Norway, Sweden, Finland, Germany, the UK, France and the Netherlands, could face a 10% tariff from Feb. 1, rising to 25% on June 1 unless a deal for Greenland is reached. European leaders condemned the remarks as unacceptable while weighing their options for possible retaliation. Shares of European automakers and luxury goods firms fell on Monday, while some defense stocks advanced. In the US, attention this week turns to the Q4 earnings season, with results due from Netflix, Charles Schwab, Johnson & Johnson, Intel and Visa, among others.

Uptrend, expecting continued spillover. The VNINDEX closed at 1,896.59 (+17.46 points, +0.93%) with slightly lower trading volume compared to the average of the last 20 sessions. The market saw 167 gainers and 153 losers. The stocks contributing most to the index's rise were VIC, GAS, GVR, and BID; the stocks contributing most to the index's decline were HVN, VCB, and MSN. Foreign investors net bought VND 505 billion, focusing on GAS, CTG, and PLX.

Trading Strategy: Investors can begin disbursing capital into stocks with positive Q4 earnings results and strong growth prospects for 2026. Favorable candidates include sectors showing improved liquidity and prices returning to trade above the EMA50, such as securities, banking, construction materials, and industrial real estate. Conversely, for sectors exhibiting weakening investment flow—such as residential real estate—investors should consider reducing their weightings to manage risk if stop-loss levels are triggered.

Buy Recommendations: HPG