Research Center

In January, during a high liquidity demand period, surging interbank rates continued to put upward pressure on fixed-income markets. Developments in the post-Tet period this year are also abnormal with liquidity tension yet to be eased. Looking ahead to February, from our view, tightening liquidity conditions in the banking system, combined with widening mismatch in credit-deposit growth and accelerating economic recovery pace, would put more upward pressure on the government bond yields.

For new entry point, traders should wait for the accurate trading signal which will occur after the consolidation phase.

The market sentiment has become cautious as the VNIndex retests the 1,500-pts threshold. Besides, the downside risk is still intact. Therefore, traders should be careful and stay on the sidelines until the next bullish signals.

This monthly report on Vietnam steel production is intended to track the developments in the steel market. Jan 2022 Vietnam steel production decreased 6.6% mom to 2.36mn tonnes. During Jan 22, we observe that the impressive total construction steel consumption with 905,885 tonnes (+35.5% yoy, -0.7% mom). In which, export construction steel volume was at 218,388 tonnes, increasing by 87.8% yoy and 14.5% mom.

The January performance witnessed the rosy export volume while local demand was still weak. The domestic volume of steel coat recorded 14,615 tonnes (+2.4% mom, -33.6% yoy) while domestic steel pipe volume posted 11,576 tonnes (+11.7% you, -33.6% mom).

For new entry point, traders should wait for the accurate trading signal which have not occured.

In the short term, the downside risk increases as the VNIndex retests the 1,500-pts threshold. Therefore, traders should be careful and stay on the sidelines until the next bullish signals.

The Covered Warrant market recorded the surge in trading volume and trading value last week. However, market is still net sold by foreigners with the remarkable surge in selling activity.

Long positions on VN30F2202 should be closed after ATO session. For new entry point, traders should wait for the accurate trading signal which have not occured.

In the short term, the downside risk increases as the VNIndex fell sharply. Therefore, traders should be careful and stay on the sidelines until the next bullish signals.