Weekly Wrap: Rebound supports a cautiously optimistic near-term outlook

Weekly — August 10

The VNI posted a solid 5.4% increase last week, handily outperforming the region after the prior week’s selloff. The mainboard is now just 1.8% below its close of June 23, before the secondary COVID-19 outbreak became public knowledge on June 24. The pandemic remains a key concern (total cases were 841 as of Monday morning) and near term volatility is likely to persist, but the market’s resilience supports our argument that the index is not likely to retest its March lows.