In the domestic market, after closing higher on the first day of PSBB transition phase yesterday, investors will pay close attention to the Bank Indonesia’s Board of Governor’s meeting decision today. Although moving towards the bullish trend, JCI today is prone to a decline after rallying for the past week. Meanwhile, market participants will also look closely at the open gap that happened yesterday in the 5057-5078 area.
The release of economic data, which largely below expectation, such as deflation and declining PMI Manufacture pressured IHSG to return to the red zone. Meanwhile, foreign investors still continue to book net sell throughout the past week.
JCI booked an increase of 2.5% last week, as investors welcome the passage of Omnibus Law. As for JCI this week, it will be influenced by the relaxation of PSBB in Jakarta, which is back to PSBB transition phase. Meanwhile investors are also looking forward to the release of Trade Balance data and the result of Bank Indonesia’s Board of Governor’s Meeting.
JCI movement today is impacted by negative sentiments from the demonstration on Job Creation Law that ended in a riot. Meanwhile, new Covid-19 daily cases also booked new yecord yesterday at 4,850. Technically, JCI can still slightly rise with the MACD indicator in the positive and foreign transactions moving to net buy.
Domestically, investors will sill pay close attention to the details of Cipta Kerja Law, especially on dividend taxation and sectors that potentially benefit from the law. Meanwhile, today’s JCI still has the opportunity to rally, after managing to close above level 5,000 with the positive MACD indicator. In addition, yesterday’s JCI movement also closed the gap that occurred at the beginning of the week.
The delay in US stimulus is expected to have adverse effect for the stock markets, including in Indonesia. Meanwhile, investors will be waiting for the release of forex reserves data, as well as the development of demonstrations after the ratification of the omnibus law in several regions. After closing slightly under the psychological level of 5000 yesterday, the movement of JCI today has the opportunity to decline.
The news from the US about the US President, Donald Trump, will soon leave the hospital also have a good impact on the JCI to continue yesterday’s rally. Domestically, investors will monitor the condition after the Omnibus Law was passed yesterday and the release of Consumer Confidence Index data (IKK).
After closing on a decline of -0.39% last week, the JCI movement this week will be influenced by global sentiments especially from the US. Domestically, the release of Consumer Confidence Index and Forex Reserves this week will also be factors that investors are waiting for.
The release of economic data, which largely below expectation, such as deflation and declining PMI Manufacture pressured IHSG to return to the red zone. Meanwhile, foreign investors still continue to book net sell throughout the past week.
