Vietnam Insight

US stocks hit new record highs, negotiations between the US and Iran remained deadlocked. US stock futures were mostly flat on Friday as investors looked for official confirmation regarding ongoing negotiations between the US and Iran. Reports suggested that both countries had reached a preliminary agreement to extend their ceasefire by 60 days and launch discussions over Iran’s nuclear program, while potentially permitting unrestricted shipments through the Strait of Hormuz. On the corporate front, Dell surged nearly 40% in extended trading after beating market forecasts and delivering a strong outlook fueled by AI-driven growth in data center demand. During Thursday’s regular session, the S&P 500 and Nasdaq Composite advanced 0.58% and 0.91%, respectively, with both indexes closing at fresh record highs. The Dow Jones also edged up 0.05%. Gains were led by the health care, technology and consumer discretionary sectors, while utilities, consumer staples and real estate underperformed.

Accumulating ahead of a breakout. The VN-Index closed the trading session at 1,863.67 points (-10.76 points, -0.57%), with trading volume remaining below the 20-day average. 89 stocks rose, while 217 declined. Stocks positively impacting the index included VHM, VRE, and BSR; while VCB, TCB, and VPB negatively affected the index. Foreign investors net sold VND 586 billion, mainly focusing on HDB and FPT. Meanwhile, they net bought ACB and VNM.

Trading Strategy: Investors may focus on stocks with sideways consolidation patterns and strong earnings growth rather than concentrating solely on VN-Index fluctuations for medium-term positioning. In the short term, opportunities may emerge in heavily sold off stocks showing signs of recovery, such as insurance, technology, and real estate sectors.

Current trading portfolio: VGC, PC1

Watchlist: HPG,  KDH, MBB, CTD, PDR