Title Week 22_Global Monetary Policy Update as of May 2024_20240530
Report Type Báo cáo tuần
Source BSC
Bussiness HOSTC
Detail Date : 05/06/2024
Total pages : 16
Language : English
File Type : .PDF
FileSize : 1757 Kb
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Short Content

GLOBAL STOCK MARKETS

The yield on 10-year U.S. Treasury bonds has risen to 4.56%, impacting  stock markets 
- The U.S. stock market declined by an average of 1.5%, EU600 -0.7%, Nikkei255 -0.6%; CSI300 -0.6%.
- Commodity indices declined by 0.2%, oil prices -3.9%, gas prices -4.3%, precious metals rose by 0.3% to 2.5%, and natural gas prices -8.1%.
- The DXY Index increased by 0.06%, and the 10-year U.S. Treasury yield rose by 0.1% during the week.
The ECB has committed to interest rate cuts at its June meeting (6/6). Regional wages increased slightly in the first quarter, and inflation in Germany increased for the first time in 6 months in May, prompting cautious considerations for reducing interest rates from record highs.
The ECB aims to maintain interest rates within a limited range this year to ensure continued inflation reduction.
Next week, interest rate decision and monetary policy statement of the ECB (this will mark the first interest rate cut after maintaining rates at 4% for five consecutive times) and the U.S. unemployment rate remain key information to watch.
 
VIETNAM STOCK MARKET
The VN-Index experienced volatile fluctuations, but managed to hold onto its weekly gains
VN-Index increased by 0.16% with trading volume decreasing by 19% compared to the previous week. Market observed that 63% of stocks gained points, and 9/18 sectors increased.
- Exchange rates have cooled down after the SBV sold approximately 4 billion USD. Deposit interest rates continue to rise in many banks.
- Cash flow is positive. Sectors such as tourism, chemicals, utilities increased by 2.6% to 5.5%, while basic resources, consumer goods, and real estate declined by over 3%.
- Foreign net selling increased by 75 million USD compared to the previous week, reaching 231 million USD. Foreign ownership decreased by less than 18% across the entire market.
The trend remains unclear. After considering buying during the sharp decline last week, investors are cautiously monitoring index fluctuations at support and resistance levels as a basis for short-term trading activities.
Alongside the proposal to reduce taxes by 2% until the end of 2024, equivalent to 24 trillion VND, the government continues to propose that the National Assembly exempt and reduce taxes, fees, and land use charges by 190 trillion VND, including extending 92 trillion VND and exempting 98 trillion VND. These solutions aim to alleviate difficulties in production activities of businesses and citizens.