Interest rates have risen to 8.5–9% per annum, and the P/E ratio offered by savings accounts has correspondingly improved to 11–11.7. This is quite attractive compared with the VN-Index, which currently stands at 13.6. Extra headwinds On Friday, March 20, the VN-Index plunged by more than 51 points, or 3%. The decline continued at the start of the following week, with the index shedding nearly 57 points. In just two trading sessions, 108 points evaporated, bringing the cumulative loss since early March to 290 points—over 15%. This marks the fastest and steepest downturn since April last year, when the U.S. imposed tariffs on major trading partners. Beyond the fallout from the Middle East conflict that erupted in late February, surging interest rates are weighing heavily on investor sentiment. Many banks have repeatedly raised deposit rates to secure liquidity and attract stable capital, anticipating further hikes in the months ahead. Inflationary pressures, soaring energy costs, and renewed disruptions to global supply chains are all fueling expectations of even higher interest rates. The stock market, one of the riskiest investment channels, is highly sensitive to interest rate movements. Higher rates not only divert capital flows toward savings accounts but also raise financing […]