Vietnam Insight

Rebounded as oil prices eased. US stock futures held steady on Tuesday after the major averages rebounded in the previous session as easing oil prices helped lift investor sentiment. In regular trading on Monday, the Dow rose 0.83%, the S&P 500 gained 1.01%, and the Nasdaq Composite jumped 1.22%. All 11 S&P sectors finished higher, led by technology, consumer discretionary, and communication services. Nvidia advanced 1.7% after CEO Jensen Huang said during the company’s annual GTC conference that he expects $1 trillion in orders for Nvidia’s Blackwell and Vera Rubin systems through 2027. 

Waiting for bottom-fishing demand. VN-Index ended the trading day at 1,693.21 (-3.03 points,-0.18%), lower liqudidity than the average 20 latest sessions. There were 149 stocks ended in green, 155 ended in red. Stocks that had exerted the most significant downward pressure on the index were BSR, GAS and VPL; whereas MCH, VHM and VCK contributed positively to the index. Foreign net sold VND 1,371 bn, notably BSR, VIC, PVD and VHM. Many oil & gas stocks continued to hit the floor limit

Trading Strategy: Investors should avoid fully deploying their buying power until there is greater clarity regarding geopolitical developments in Iran. In the meantime, investors may focus on domestically driven sectors such as public investment, banking, and construction materials. Market corrections caused by indirect cross-margin calls could also create opportunities to accumulate stocks at more attractive valuations. Additionally, investors may consider commodity-related stocks as commodity prices appear to be entering an upward trend (e.g., fertilizers). However, these stocks tend to be highly volatile, so proper risk management is necessary if market conditions change

Buy Recommendation: HPG