Vietnam Insight

Order matching during the trading session. US stock futures were little changed on Friday after US President Donald Trump signaled optimism over a potential agreement to end the conflict with Iran, saying Tehran had accepted terms it has long resisted. Trump also announced a 10-day ceasefire between Israel and Lebanon, later confirmed by Israeli Prime Minister Benjamin Netanyahu. In regular trading on Thursday, the S&P 500 and Nasdaq Composite rose 0.26% and 0.36%, respectively, with both benchmarks closing at fresh record highs, while the Dow added 0.24%. Seven of the 11 S&P sectors finished higher, led by gains in energy, real estate, and technology. In corporate developments, Netflix shares fell nearly 10% in extended trading after the company issued a soft second-quarter outlook and said co-founder and chairman Reed Hastings would step down from the board in June.

Testing the upper bound of the sideways range. The VN-Index closed the trading session at 1,819.83 points (+19.18 points, +1.07%), with trading volume edging down slightly to around the 20-session average. There were 105 gainers and 213 decliners.Stocks that contributed positively to the index included VIC, VHM, and VPL, while CTG, VCB, and VCK weighed on the market. Foreign investors recorded a net sell of VND 1,185 billion, mainly concentrated in FPT and VHM.

Trading Strategy: Investors should avoid chasing stocks and instead select those showing improvement in business performance. Given that geopolitical risks remain uncertain, we recommend maintaining a moderate equity exposure to effectively manage portfolio risk. At this stage, capital flows are showing a preference for sectors supported by domestic drivers, such as public investment, banking, and construction materials. For the real estate sector, following a period of deep correction, recent sessions have indicated a return of capital inflows. Meanwhile, the securities sector continues to be supported by the market upgrade narrative, sustaining its relative attractiveness to investors.

Buy Recommendation: VCI, HDG