The AI trade boom is messing with Vietnam's external figures. IT exports are exploding, but the trade balance has nonetheless gone careening into large deficit as IT components imports grow even faster. We believe this is a temporary shock that will reverse as the assembled products are shipped off.

Meanwhile, the domestic economy continues to expand; momentum is cooling a bit at the margin but demand is still growing at a good clip, with positive equity performance to match. And as always we maintain our own exposure in light of longer-term growth prospects.