ID :
Tue, 01/17/2023 - 05:50
Auther :

Vietnam’s stock market still attractive to investors: report

Hanoi, January 17 (VNA) - The relatively low devaluation of the VND against the USD in comparison with that of other currencies in the region shows that the Vietnamese stock market remains an attractive destination for investment flows, as uncertainties persist in most of the global financial market, according to a weekly investment strategy report of the Vietcombank Securities Co., Ltd (VCBS). That the US Dollar Index continues to decrease slightly and the State Bank of Vietnam’s successful increase of foreign exchange reserves in the past week is considered a positive signal for the domestic market, it said. In the short term, the liquidity of the VND will continue to improve significantly, resulting in the possibility of interest rate reduction in the interbank market. At least 12 commercial banks, notably Vietcombank and Agribank, have announced to reduce lending interest rates to support businesses following a directive from the central bank. Following a slight increase in the benchmark index and continued low liquidity levels in recent weeks, the VCBS believes that the market will continue to struggle and fluctuate in a narrow range before the holidays. Experts from the company recommend short-term investors take advantage of the uptrend to take profits on short-term speculative stocks while limiting the opening of new transactions until the Lunar New Year holiday. MB Securities (MBS) said that as the VN-Index gained for two consecutive weeks, the upper limit of 1,064 points is still a strong resistance when there is no support from liquidity. The market is expected to break out of the accumulation zone after the Lunar New Year or remain sideways, but investors will have opportunities with individual stocks./.