Vietnam Insight

Awaiting new data on the health of the US economy. US stock futures fluctuated around the flatline on Tuesday after the major averages declined in the previous session, pressured by a rise in Treasury yields. Investors also remained focused on geopolitical developments amid continued uncertainty surrounding US-Iran negotiations, although Saudi Arabia managed to restore oil flows through a key pipeline. In regular trading on Monday, the Dow Jones fell 0.67%, the S&P 500 declined 0.77%, and the Nasdaq Composite dropped 0.92%. The losses came as Treasury yields continued to climb on expectations that persistent inflation could prompt the Federal Reserve to tighten monetary policy further. The US 10-year Treasury yield moved above 5.2%, while the 30-year yield was at 5.55%. Investors now await Tuesday’s consumer confidence, job openings, and labor turnover data for further indications about the health of the US economy. In corporate news, AMD agreed to acquire World Labs in a deal valued at $8.2 billion.

Accumulates above MA 50. The VN-Index ended the trading session at 1,780.6 points (-4.4 points, -0.25%), with liquidity increasing. There were 105 advancers and 227 decliners during the session. MCH and HPG weighed on the index, while BSR, GAS, and BVH made positive contributions. Foreign investors recorded net selling of approximately VND 293 billion.

Trading Strategy: Investors may consider accumulating large-cap stocks at lower levels, particularly those expected to attract upgrade-related capital inflows, with attractive valuations and strong fundamentals (FA). However, investors should remain cautious and avoid chasing stocks at high prices, as the primary trend remains range-bound.

Current portfolio: FPT; VCB; Watchlist: HPG, TCH BVH, GAS and securities stock (HCM, SSI, VCI…)