Topic: ACBS

The ACBS securities company has prepared three scenarios for Vietnam’s stock market. In the base scenario, growth will be some 19 per cent by the end of 2022, thanks to banking, transportation, real estate, and utility stocks, and the VN-Index will be around 1,400 points. In the optimistic scenario, the VN-Index will hit 1,500-1,600 points, and in the pessimistic scenario it will be 1,200 points.

According to the ACB Securities Company (ACBS), the State Bank of Vietnam (SBV) sold some $21 billion of foreign exchange reserves in the first eight months of this year, or 19 per cent of the total. Reserves now stand at $89 billion, or about 12 weeks’ worth of imports, which is still within a safe margin. ACBS expects it will be difficult for the SBV to maintain low interbank interest rates in the near future, because the US Fed is likely to introduce three more rate hikes from now to the end of the year, putting downwards pressure on the VND/USD exchange rate.

ACBS Securities has forecast that under the most optimistic scenario, the VN-Index moves into a range of 1,800-1,900 points by the end of 2022, up 44.5 per cent since May 31. Even in the most pessimistic scenario, with uncertainty clouding the global market, the stock market could still be around 1,450 points by the end of the year.