A lady watches market actions on her laptop. Photograph baodautu.vn
HÀ NỘI — In its newest market report, Yuanta Securities Vietnam stated that the nation’s financial background in February confirmed a optimistic restoration momentum.
Though registered FDI capital within the first two months of the 12 months decreased barely, the prospects are good for the approaching months. Commerce actions and industrial manufacturing maintained final 12 months’s development momentum amid the longer Tết vacation.
The intense spot in February was the expansion of the journey and tourism business after declining for practically two years, supporting the expansion momentum of complete retail gross sales and shopper providers in February.
Regardless of the rising variety of COVID-19 infections, Yuanta discovered that it didn’t have an effect on life and manufacturing as a lot as earlier than. Labour shortages nonetheless persist however have improved in comparison with pre-Tết.
With the Russia-Ukraine battle, the chance of upper uncooked materials costs as a result of influence of hovering oil costs and provide chain disruptions will put strain on inflation within the coming months. Nevertheless, the securities agency stated that the federal government will take measures to stabilise gasoline costs when needed, in addition to regulate the market to assist stabilise costs and maintain the inflation fee under 4 per cent.
“The expansion drivers sooner or later are clearer because of the expansion of shopper demand, the restoration of tourism and journey providers when Việt Nam is reopening usually to worldwide vacationers,” Yuanta stated.
“As well as, the Authorities is rushing up public funding initiatives. In accordance with the plan in April or Might, the general public funding bundle underneath the VNĐ350 trillion programme is began, which can be a terrific driving pressure for financial development within the coming future.
“We imagine that the Russia-Ukraine situation won’t significantly have an effect on Vietnamese financial development, and nonetheless suppose that financial development in 2022 can be round 6.39 per cent.”
The Vietnamese inventory market has seen corrections because of political tensions between Russia and Ukraine, so the US Federal Reserve’s fee hikes could not have a destructive influence on the inventory market in March.
Yuanta reaffirms that the market benchmark VN-Index’s valuation stays at a sexy 17.2x with return on fairness (ROE) nonetheless being the best within the area, exhibiting that the valuation of the inventory market continues to be enticing.
“We forecast that the VN-Index could fluctuate within the vary of 1,440 – 1,512 factors within the first half of March and step by step head again to the height of 1,535 factors within the second half of the month,” stated Yuanta. VNS