The JCI September 5, 2022

𝐒𝐞𝐩𝐭𝐞𝐦𝐛𝐞𝐫 𝟓, 𝟐𝟎𝟐𝟐

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞: 𝟕,𝟏𝟎𝟎𝐩𝐭 – 𝟕,𝟐𝟒𝟎 (𝐅𝐫𝐢𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟕,𝟏𝟕𝟕𝐩𝐭)

*𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐰𝐢𝐭𝐡 𝐦𝐚𝐣𝐨𝐫 𝐞𝐪𝐮𝐢𝐭𝐲 𝐢𝐧𝐝𝐢𝐜𝐞𝐬 𝐜𝐥𝐨𝐬𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐛𝐲 𝐬𝐨𝐦𝐞 𝟏%,𝐦𝐚𝐢𝐧𝐥𝐲 𝐨𝐧 𝐭𝐡𝐞 𝐔𝐧𝐢𝐭𝐞𝐝 𝐒𝐭𝐚𝐭𝐞𝐬 (𝐔𝐒)’𝐬 𝐀𝐮𝐠𝐮𝐬𝐭 𝐣𝐨𝐛 𝐝𝐚𝐭𝐚 𝐫𝐞𝐥𝐞𝐚𝐬𝐞 𝐭𝐡𝐚𝐭 𝐢𝐧𝐝𝐢𝐜𝐚𝐭𝐞𝐝 𝐬𝐭𝐫𝐞𝐧𝐠𝐭𝐡 𝐭𝐡𝐚𝐭 𝐦𝐢𝐠𝐡𝐭 𝐤𝐞𝐞𝐩 𝐭𝐡𝐞 𝐜𝐨𝐮𝐧𝐭𝐫𝐲’𝐬 𝐜𝐞𝐧𝐭𝐫𝐚𝐥 𝐛𝐚𝐧𝐤 𝐭𝐨 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞 𝐭𝐨 𝐭𝐢𝐠𝐡𝐭𝐞𝐧 𝐭𝐡𝐞 𝐦𝐨𝐧𝐞𝐭𝐚𝐫𝐲 𝐩𝐨𝐥𝐢𝐜𝐲

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

Morning,

The Jakarta Composite Index (JCI) today (9/5) is expected to trade between 7,100pt –7,240pt  to attempt higher and is supported by bargain hunters.  

Meanwhile, yesterday (8/31) Wall Street ended with the DJIA closed lower by 338 points or 1.1% to 31,318pt, while the S&P500 and the Nasdaq closed lower by 1.1% and 1.3%, respectively.

The US’s nonfarm payrolls data for August rose by 315k units, lower as compared to that of July 528k units, and slightly lower than the anticipated 318 units. The nonfarm payroll data is one of the major considerations for the US central bank to decide benchmark rate decisions.

On the other end, the yield on the benchmark 10-year Treasury note declined 7 basis points to 3.19% Friday last week, and the yield on the 2-year Treasury yield fell 11  basis points to 3.39%, continuing to be in a  yield-spread inversion trend.

Last week,  the WTI price rose 26 cents to USD86.8.8/barrel ahead of OPEC+members’ meeting today.  OPEC+ this week revised market balances for this year and now sees demand lagging supply by 400,000 barrels per day (BPD), against the 900,000 BPD forecast previously. The producer group expects a market deficit of 300,000 BPD in its base case for 2023. Meanwhile, the USDIDR closed at  IDR14,900 vs. IDR14,853 the previous one.

Cheers,