HIGHLIGHTED NEWS
Amid global energy fluctuations caused by Middle Eastern tensions, the Vietnamese government is simultaneously implementing diplomatic and market-managing solutions to stabilize fuel supply and control inflation. Specifically, Prime Minister Pham Minh Chinh held telephone conversations with leaders of the United Arab Emirates (UAE) and Qatar, discussing the regional situation and energy security cooperation. The UAE pledged maximum support for Vietnam's energy needs, while Qatar affirmed its readiness to cooperate in ensuring a stable supply. Domestically, Resolution 36/NQ-CP, issued on March 6th, establishes a more flexible price management mechanism, allowing adjustments immediately when the base price increases by more than 7% instead of only on a weekly basis. This limits the risk of losses for businesses and supply disruptions, while also requiring ministries and agencies to strengthen market supervision and ensure supply. In addition, Petrovietnam also proposed temporarily suspending crude oil exports to prioritize raw materials for domestic refineries, contributing to strengthening supply and reducing price pressure.
TRADING STRATEGY
The stock market recovered to the 1,676 point mark with improved liquidity compared to the previous trading session. Capital flows tended to gravitate towards large-cap stocks in the banking, basic resources, F&B, retail, and technology sectors. Conversely, downward pressure appeared in the oil and gas, utilities, and some individual chemical and real estate stocks. The VN-Index is likely to fluctuate around the 1,665-1,685 point range today.
The market reacted positively at the 1,620-1,640 point support level after global news eased geopolitical tensions and oil prices cooled to levels similar to the end of the previous trading week. While the overall sentiment still showed some caution, selling pressure has gradually been brought under control. Foreign investors resumed net buying. The VN-Index is likely to experience a short-term recovery with the goal of testing and conquering the resistance zone of 1,730-1,750 points. In a positive scenario, if the market shows consensus and a breakout session occurs soon, the area around 1,640 points could very well be the medium-term bottom. Investors should pay attention to controlling portfolio weightings and may consider increasing their holdings in medium-term strategic portfolios when supporting reversal movements appear accompanied by confirming signals. Short-term trading should be flexible according to the flow of money.
Investor can see the full Newsletter below:
