Vietnam Insight

Awaiting the job openings report. US stock futures edged lower on Tuesday after the major indexes reached fresh record highs during the first trading session of June, as ongoing geopolitical uncertainties continued to drive market volatility. In regular trading on Monday, the Dow added 0.09%, the S&P 500 advanced 0.26%, and the Nasdaq Composite gained 0.42%, with all three benchmarks finishing at new all-time highs. Technology stocks led the rally following the debut of a new PC chip. Among the top gainers were Micron Technology (6.6%), Nvidia (6.3%), Oracle (9.9%), IBM (7.6%), and Dell Technologies (10.7%). In after-hours trading, Hewlett Packard Enterprise jumped 28% after providing a strong quarterly outlook and raising its full-year guidance. Investors are now awaiting the latest JOLTS job openings report, along with earnings results from Palo Alto Networks, Dollar General, and Victoria’s Secret, among others.

Accumulating ahead of a breakout. The VN-Index closed the trading session at 1,844.54 points (-18.95 points, -1.02%), with trading volume remaining below the 20-day average. 165 stocks rose, while 133 declined. Stocks positively impacting the index included MWG, FPT, and GEE; while VIC, VHM, and GAS negatively affected the index. Foreign investors net sold VND 646 billion, mainly focusing on ACB and BSR. Meanwhile, they net bought MWG and FPT.

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, PDR; Watchlist: HPG,  KDH, MBB, CTD