The JCI June 17, 2022

𝐉𝐮𝐧𝐞 𝟏𝟕, 𝟐𝟎𝟐𝟐

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞:𝟔,𝟗𝟐𝟎𝐩𝐭 – 𝟕,𝟎𝟖𝟎𝐩𝐭  (𝐘𝐞𝐬𝐭𝐞𝐫𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟕,𝟎𝟓𝟎𝐩𝐭)

* 𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐰𝐢𝐭𝐡 𝐦𝐚𝐣𝐨𝐫 𝐞𝐪𝐮𝐢𝐭𝐲 𝐢𝐧𝐝𝐢𝐜𝐞𝐬 𝐜𝐥𝐨𝐬𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐛𝐲 𝐬𝐨𝐦𝐞 𝟑%, 𝐚𝐬 𝐢𝐧𝐯𝐞𝐬𝐭𝐨𝐫𝐬 𝐬𝐭𝐚𝐫𝐭𝐞𝐝 𝐭𝐨 𝐝𝐢𝐠𝐞𝐬𝐭 𝐡𝐢𝐠𝐡𝐞𝐫 𝐩𝐨𝐬𝐬𝐢𝐛𝐢𝐥𝐢𝐭𝐲 𝐨𝐟 𝐭𝐡𝐞 𝐔𝐧𝐢𝐭𝐞𝐝 𝐒𝐭𝐚𝐭𝐞𝐬 (𝐔𝐒) 𝐞𝐜𝐨𝐧𝐨𝐦𝐢𝐜 𝐫𝐞𝐜𝐞𝐬𝐬𝐢𝐨𝐧 𝐭𝐨 𝐬𝐭𝐚𝐫𝐭 𝐞𝐚𝐫𝐥𝐢𝐞𝐫

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐢𝐬 𝐞𝐱𝐩𝐞𝐜𝐭𝐞𝐝 𝐭𝐨 𝐛𝐞 𝐯𝐨𝐥𝐚𝐭𝐢𝐥𝐞 𝐚𝐧𝐝 𝐬𝐮𝐩𝐩𝐨𝐫𝐭𝐞𝐝 𝐛𝐲 𝐬𝐭𝐚𝐛𝐥𝐞 𝐔𝐒𝐃𝐈𝐃𝐑 𝐚𝐧𝐝 𝐨𝐢𝐥-𝐜𝐥𝐨𝐬𝐞

Morning,

 The Jakarta Composite Index (JCI) today (6/17) is expected to trade between 6,920pt – 7,080pt  to hold ground and supported by bargain hunters.

The JCI is expected to join regional negative sentiment also on jitters for the monetary stance decision by the central bank Bank Indonesia meeting on Wednesday (6/23). Meanwhile, the yield on the 10-year Indonesia government bonds closed stable at 7.4% yesterday.

Wall Street yesterday (6/16) ended with the DJIA closed lower  by 742pt, or 2.4% to 29,927pt, while the S&P500 and the Nasdaq closed lower by 3.3% and 4.1%, respectively. Meanwhile, the 10-year Treasury yield closed lower by  6bp to 3.3%. The US equity market seemed to start seriously taking into account the downward revision of the US GDP growth by its central bank. The Federal Reserve (6/15) announced that this year GDP growth is cut to 1.7% YoY (from March estimate of 2.8% YoY).  In the 1Q22, the US GDP posted a decline of 1.4% YoY (vs. consensus estimate of +1% YoY).  At the other end, professor Jeremy Siegel is quoted by the US media that  first half is negative (for the US) GDP growth, and to end on a slide (this year).

Yesterday  the WTI  price closed higher by 2.0% to  USD117.6/barrel, also on the latest global demand growth forecast by the IEA, of+2% YoY in 2023, or an estimated record high to 101.6mn bpd.  At the other end, the OPEC+ members body  forecasts demand for this year at and average of 100.3mn bpd.  Meanwhile, the USDIDR closed  at IDR14,741 vs. IDR14,746  the previous one.

Cheers,