Vietnam Insight

Oil prices continued to rise. US stock futures edged lower on Tuesday as investors tracked further escalations in the Middle East conflict. President Donald Trump said the US would do “whatever it takes” when asked how long the war with Iran could endure, as Israel carried out fresh airstrikes on Monday. A senior US official also reportedly indicated that Washington was preparing a substantial escalation in strikes on Iran within the next 24 hours, targeting the country’s missile production facilities, drone programs and naval assets. In regular trading on Monday, the Dow fell 0.15%, while the S&P 500 and the Nasdaq Composite rose 0.04% and 0.36%, respectively. Defense and energy names such as Northrop Grumman (6%), Palantir Technologies (5.8%) and Exxon Mobil (1.1%) advanced. Investors also rotated back into cash-rich technology leaders including Nvidia and Microsoft, which gained 2.9% and 1.5%, respectively, on expectations they would remain resilient despite the Middle East tensions.

Retesting the support at 1,820 points. The VN-Index closed at 1,846.10, down 34.23 points (-1.82%), with liquidity surging more than 50% above the 20-day average. The market breadth was negative, recording 106 gainers and 244 losers. Major drags on the index included VIC, VHM, and BID, while GVR, BSR, and GAS provided the primary upward support. Foreign investors remained net buyers with a total value of 766 billion VND, shifting their focus back to HPG, SSI, and MWG. Utilities and oil & gas stocks saw strong capital inflows, with many shares repeatedly hitting the daily limit.

Trading Strategy: Medium- to long-term investors may consider buying stocks that have yet to advance and are forming tight consolidation bases. However, as the index has rallied strongly and moved into a higher resistance zone, it is preferable to prioritize holding positions and be ready to take short-term profits rather than initiating new positions, especially in stocks that move in line with the broader market.