Although the VN-Index of the Hochiminh Stock Exchange (HOSE) has surged recently, the “green skin, red heart” pattern—where a few large-cap stocks push the index higher while most others decline—has reemerged, casting doubt on the rally’s overall strength. Market momentum remains strong The VN-Index’s seven-week winning streak eased off briefly during the trading week from March 10 to 14, as the market came under strong profit-taking pressure in its latter sessions. Still, the index ended the week higher than in the week earlier, indicating that downward corrections remain shallow, and capital inflows continue on the back of positive sentiment. Vietnam’s stock market appears to be in a “honeymoon phase,” buoyed by favorable macroeconomic policies and the Government’s clear commitment to achieving the GDP growth target of 8% or higher in 2025. Alongside expansionary fiscal policies, especially the push for accelerated public investment disbursement, the State Bank of Vietnam (SBV) has been instructed to maintain a looser monetary policy and even consider reducing key interest rates. In response, the SBV has issued directives to stabilize interest rates, prompting a wave of deposit rate cuts across numerous commercial banks. Between mid-February and early March, the central bank also steadily reduced the interest […]