FTSE Russell confirmed Vietnam remains on track for an upgrade to a Secondary Emerging Market, effective September 21, due to improved accessibility for foreign investors. This reclassification is expected to attract billions of dollars in foreign capital, with initial implementation starting in September.
Securities stocks experienced an unexpected and explosive surge in the afternoon session, with many tickers seeing strong gains and high liquidity, potentially driven by anticipation of the upcoming FTSE market upgrade review. This positive development brought a glimmer of hope amidst an overall low-liquidity market.
Interbank interest rates, especially for short terms, sharply increased on April 6th, driven by persistent liquidity pressure and a significant gap between credit growth and capital mobilization in the banking system. Analysts expect rates to remain high due to these factors and external pressures.
Middle East conflicts are causing oil flow disruptions, leading to soaring fuel prices and a critical shortage of petrochemical raw materials like naphtha. This global crisis is severely impacting various manufacturing sectors, from footwear to medical supplies, driving up costs, fueling inflation, and hindering economic growth worldwide.
The State Bank of Vietnam (SBV) issued a new circular (02/2026/TT-NHNN) amending regulations on special loans to credit institutions, expanding the scope of lenders to include the Deposit Insurance of Vietnam (DIV) and other credit institutions. This clarifies DIV's role as both a lender and a borrower, strengthening the financial system's liquidity support and stability.
The State Bank of Vietnam (SBV) issued a directive urging credit institutions to stabilize interest rates amidst recent rapid increases, driven by capital balancing pressures and high credit growth. This move aims to maintain macroeconomic stability, control inflation, and support economic growth.
Vietnamese steel prices are recovering in Q1/2026, with expectations for stronger growth in Q2/2026 driven by a trade investigation into cheap Chinese wide-width hot-rolled steel imports and the peak construction season. Major producer HPG is seeing strong consumption growth and increased market share, while the anti-circumvention investigation is expected to benefit domestic steel producers by allowing for price increases.
The Vietnamese securities sector experienced a strong late-session rally, fueled by anticipation of an upcoming market upgrade announcement, offering a signal of hope despite low overall liquidity and geopolitical concerns. This development is expected to bring certainty to the upgrade timeline and attract future fund inflows.
The Vietnamese stock market recorded its lowest liquidity in 10 months, with total transaction value significantly down and foreign investors continuing net selling. Despite this, the VN-Index saw a slight recovery, and analysts view the low liquidity as a potential sign of 'supply exhaustion' leading to a market rebound.
The Vietnam Banks Association (VNBA) has issued a new code of conduct for debt collection, effective March 31st, prohibiting violent, harassing, or defamatory actions against borrowers and emphasizing customer information privacy. This aims to standardize practices and improve the banking sector's professionalism.
The Vietnamese stock market is experiencing record-low liquidity from both domestic and foreign investors, leading to a slow decline in the VN-Index and narrow fluctuations across most stocks. This reflects a cautious sentiment and a significant lack of confidence among market participants.
JPMorgan CEO Jamie Dimon warns of a potential US economic recession driven by geopolitical conflicts, which could lead to prolonged high inflation, rising interest rates, and a stock market downturn despite the current strength of the US economy. He highlights risks from Middle East conflicts impacting oil prices and supply chains, and the challenge of high government debt.
Petrolimex forecasts a 7% decline in 2024 profit to a four-year low, citing the growing impact of electric vehicles and urban gasoline vehicle restrictions. The company, Vietnam's largest fuel retailer, expects traditional fuel sales to peak or plateau by 2028-2030, while setting long-term revenue and profit growth targets.
JPMorgan Chase CEO Jamie Dimon warns of persistent inflation and higher interest rates due to escalating geopolitical conflicts, particularly US-Iran tensions, which could cause oil and commodity price shocks and disrupt global supply chains. He notes these global challenges have already led to a significant decline in the S&P 500 and make Fed rate cuts unlikely, despite the US economy's current resilience.
Vietnamese ETFs and foreign investors experienced significant net outflows of over 1.2 trillion VND last week, with major funds like VFMVN Diamond ETF seeing large withdrawals and impacting stocks such as MWG, FPT, and TCB. Despite these short-term outflows, the market anticipates a positive outcome from FTSE Russell's interim review tonight, potentially leading to substantial passive fund inflows from September 2026.
Information provided for educational purposes only. Past performance does not guarantee future results. Data sourced from public Vietnamese market feeds.