HIGHLIGHTED NEWS
The Ministry of Finance reported positive socio-economic results in January 2026 across many sectors. Specifically, the CPI and IIP indices increased by 2.6% and 21% respectively compared to the same period last year; state budget revenue was estimated at VND 370.7 trillion, a 20.4% increase. Total import-export turnover increased by 38.9%, with exports rising by 29.5% and imports by 49%. Newly registered FDI reached nearly US$1.5 billion, a 14.4% increase, while implemented FDI reached nearly US$1.7 billion, an 11.3% increase. Total retail sales of goods and consumer service revenue also increased by over 9% compared to the same period last year. Notably, the number of newly established and reactivated businesses reached 48,700, a 76.2% increase compared to the previous month and a 45.6% increase compared to the same period last year. Based on the results achieved, the Ministry of Finance stated that it will continue to implement policies to reduce and extend taxes and fees, with an expected scale of up to VND 190.8 trillion in 2026, aiming for short-term growth of 9-10% in the first quarter.
TRADING STRATEGY
The stock market declined, falling to near the 1,790 point mark with slightly increased liquidity compared to the previous trading session. Selling pressure increased slightly in large-cap stocks in the real estate, banking, technology, and chemical sectors. Conversely, capital flows continued to improve in leading stocks in the retail, basic resources, and mid- and small-cap groups in the oil and gas, financial services, construction, and materials sectors. The VN-Index is likely to fluctuate around the 1,785-1,805 point range today.
The market experienced downward pressure and retreated to test the 1,780-1,800 point support zone. However, divergence was once again quite evident and showed many similarities to the beginning of the week, with selling pressure mainly affecting a few key stocks with high specific characteristics. Cash flow continues to move toward mid- and small-cap stocks that are considered to have growth potential based on macroeconomic trends or are attractive relative to their intrinsic value. The trading position of foreign investors is also noteworthy, as this group of investors sold net for the second consecutive session based on transaction value but bought net based on trading volume. This indicates that short-term index fluctuations do not accurately reflect investment opportunities or cash flow trends in the market. Therefore, investors should prioritize taking advantage of periods of VN-Index consolidation and differentiation to increase the proportion of strategic stocks in their medium-term holdings. Additionally, short-term trades should prioritize stocks that have confirmed an upward trend and successfully retested support levels, or be flexible according to cash flow developments.
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