Sukuk Auction Still Below Target
The focus of funding sources on short and long tenors made the government selective in winning the medium tenor at the Sukuk auction yesterday.
Daily Report | 10 March 2021
Domestically, the downward trend in the JCI that continued yesterday has entered its 4th consecutive day. Market participants hope that sentiment from the majority of global markets that closed in the green zone will bring positive impact, amidst the lack of new catalysts. Today, JCI is expected to move in the range of 6,167-6,325.
External Sentiment Earlier in the Week
entiment on the passage of the US stimulus law pushed yields of Government Securities (SUN) to rise again at the start of the week.
Daily Report | 09 March 2021
From the domestic market, the lack of new sentiment has caused the JCI to consolidate again with a tendency to weaken at the beginning of the week. The increase in the Consumer Confidence Index, in line with the vaccination program do not seem to have had a major impact. For today, JCI has the chance to rebound with a range of movements in 6,239 – 6,340.
Yield Inversion Close Weekend SUN Market
Based on Bloomberg data, the yield on the benchmark 15-year Government Bond (SUN) FR0088 is at the level of 6.37 percent.
Weekly Report | 08 March 2021
JCI maintained its position and closed in the green throughout the past week. Its movement was mostly influenced by domestic sentiments such as the release of inflation data recorded at 1.38% YoY and forex reserves which booked a surplus of USD138.8 billion. Meanwhile, the government also gave stimulus in the form of relaxation of sales tax on luxury goods (PPnBM) for the automotive sector.
Daily Report | 08 March 2021
JCI was able to post a slight gain of 0.27% over the past week, although the majority of the increase only occurred at the beginning of the week. Investors will still focus on the impact of the US stimulus package, movement in bond yields, and the downward trend in the USD/IDR exchange rate. Today, JCI is expected to move in the range of 6,245-6,394.
UST Yield Hike Again Presses the SUN Market
The increase in US Treasury (UST) yield again put pressure on the Government Securities (SUN) market yesterday, as the 10-year UST yield rose 8.6 bps to 1.48%.
Daily Report | 05 March 2021
The correction experienced by the JCI yesterday was in line with the weakening experienced by the majority of global exchanges. The figure for Indonesia’s foreign exchange reserves in February is also projected to decline. The JCI movement today is estimated to be in the range of 6,270 – 6,394.
