Global oil prices saw significant recovery on March 7, 2025, following aggressive remarks by U.S. President Donald Trump, who threatened sanctions against Russia if the nation failed to negotiate a ceasefire with Ukraine. This announcement boosted Brent oil prices to $70.4 per barrel, with market analysts noting the geopolitical tension was the primary driver behind the spike.
Earlier on the same day, West Texas Intermediate (WTI) oil reached $68.22 after Russian Deputy Prime Minister Alexander Novak declared OPEC+ would continue its plan to increase production levels. He also indicated there might be adjustments to their output plans, which contributed to fluctuations within the oil markets.
The price chart for Brent oil indicated a 1.3% increase during the trading session, rebounding after testing support around $68.7 per barrel. Market experts predict the price could continue to recover and approach $74 per barrel, even as the short-term trend remains slightly downward.
Meanwhile, cotton futures also showed notable gains, trading over 65 cents per pound. The increase was attributed to the weaker U.S. dollar and strong export data, which improved market sentiment. The USDA reported net cotton sales had grown 45% to 241,500 bales, with exports surging 25% compared to the previous week.
Data on cotton prices demonstrated a 1.32% increase from the previous session, moving away from support at 63 cents per pound. Analysts anticipate the prices may test resistance levels close to 67 cents per pound, maintaining their upward trend.
On Wall Street, following the remarks from Jerome Powell, Chairman of the Federal Reserve, U.S. indexes showed marked recovery. The S&P 500 lifted by 0.6%, the Nasdaq by 0.7%, and the Dow Jones Industrial Average rose by 222 points. Powell’s assurance dispelled fears of immediate rate cuts, which had overshadowed economic forecasts amid concerns about the trade policies under Trump.
Despite this growth, the labor market data released painted a less optimistic picture, with non-farm payroll increases falling well below expectations at 151,000 for February and unemployment ticking up to 4.1%. These figures raised alarms about potential weaknesses within the job market.
Following these developments, the Dow Jones index ended the day up by 0.52%, but analysts suggest it may hover within the range of 42,381 to 43,084 points as the short-term trend remains slightly down.
Turning to Vietnam, the YS30 index closed at 116.69 points, reflecting a 0.4% increase, accompanied by a 26% rise in trading volume compared to the previous session. Observers noted the performance suggests potential to test resistance levels near 117 points, with short-term trends also showing positive sentiment for this index.
For investors, the recommendation is to maintain high stock proportions within their portfolios, particularly as the YS30 approaches resistance. The medium-term trend remains bullish, with expectations of seeing 134 points as the next resistance level; analysts recommend continuing to buy and hold stocks.
Notably, foreign investors engaged heavily, net selling 216 billion, primarily affecting sectors such as real estate, which experienced significant net buying amid these changes. Proprietary trading showed net selling of 257 billion, hinting at fluctuated sentiments across the market.
Overall, the market movements reflect not only the geopolitical tensions at play with Trump’s sanctions discussion but also the broader economic indicators influencing investor behavior and market confidence. The developments, particularly within cotton futures and U.S. equities, suggest optimism tempered by underlying economic uncertainties.
Investors are left monitoring the political and economic climate closely, making adjustments as necessary to navigate through these topsy-turvy trading conditions.