In yesterday's trading session, March 11, the Vietnamese stock market stood firm, reversing the upward trend, proving that it was not affected by the decline in US stocks.
Yesterday's increase also showed domestic investors' expectations for optimistic economic prospects without being strongly affected by the decline in the world stock market.
Regarding the reason for the decline in the US stock market, experts said that investors are concerned that President Donald Trump's tariff policies will push the US economy into recession.
Recently, President Donald Trump has imposed tariffs on a number of products from Mexico, Canada and China, followed by a response to the backlash of tensions between countries and the US, causing the US inflation index in February to increase.
This has led many to concerns that inflation has begun to return, the Fed will no longer cut interest rates as expected, thereby lacking a tool to loosen monetary policy to support the economy and eventually easily leading to the risk of a recession in the US economy in 2025.
Mr. Nguyen Minh Hoang - VFS Analysis Director commented - the stock market in 2024 has not been able to break out strongly due to many unfavorable factors, also known as the "reverse wind".
However, in 2025, when these barriers gradually weaken, the market may welcome positive growth momentum.
Stock market liquidity is expected to be boosted by the upgrading process, expected to take place in September 2025, as well as the decline in net selling pressure from foreign investors.
The current ownership ratio of foreign investors in Vietnam is only about 16%, and foreign investors can turn to net buy at any time.
However, we do not expect foreign investors to suddenly buy net again when in the current context, pressure on the USD is still there, the US economy is still strong and cash flow is flowing back to the US, the expert said.
Another positive point is that domestic cash flow is also returning, in case domestic cash flow returns stronger, it can completely "carry" the factor from this foreign capital.
Experts also believe that if Vietnamese stocks succeed in upgrading the market, it can attract about 4-5 billion USD more to flow into Vietnam.
However, investors need to look at real cash flow, if cash flow in the market continues to be promoted and maintained as strongly as it is now, the stock market score will witness even higher levels.
Mr. Nguyen The Minh, Director of Investment and Investment for Individual Customers of Yuanta Vietnam Securities, also predicted that the fluctuations in the US stock market will likely be an opportunity for the amount of money in the US market to separate and shift to emerging markets for investment.
A cash flow that can shift to other markets such as Asia, including Vietnam, will be a driving force for the Vietnamese stock market to face the opportunity to increase
Domestic cash flow is also a positive index for the Vietnamese stock market to grow in the coming time.
This year the market has many positive catalysts for the stock market, in which the internal economy has helped increase investor confidence, helping to stabilize psychology.
Currently, banks are disbursing thousands of billions of VND with low interest rates as directed by the Government, in the context of not many other investment opportunities, it will be easy for domestic cash flow to flow into stocks.
