The JCI December 10, 2021

𝐋𝐀𝐓𝐄 𝐏𝐎𝐒𝐓

𝐃𝐞𝐜𝐞𝐦𝐛𝐞𝐫 𝟏𝟎, 𝟐𝟎𝟐𝟏

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞:𝟔,𝟓𝟖𝟓𝐩𝐭 – 𝟔,𝟕𝟎𝟎𝐩𝐭  (𝐘𝐞𝐬𝐭𝐞𝐫𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟔,𝟔𝟒𝟒𝐩𝐭)

* 𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐰𝐢𝐭𝐡 𝐭𝐡𝐞 𝐛𝐫𝐨𝐚𝐝𝐞𝐫 𝐍𝐚𝐬𝐝𝐚𝐪 𝐜𝐥𝐨𝐬𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐛𝐲    𝐚𝐥𝐦𝐨𝐬𝐭 𝟐% 𝐦𝐚𝐢𝐧𝐥𝐲 𝐨𝐧 𝐭𝐡𝐞 𝐥𝐚𝐭𝐞𝐬𝐭 𝐔𝐧𝐢𝐭𝐞𝐝 𝐒𝐭𝐚𝐭𝐞𝐬 (𝐔𝐒) 𝐦𝐚𝐜𝐫𝐨 𝐝𝐚𝐭𝐚

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

Morning,

The Jakarta Composite Index (JCI) today (12/10) is expected to trade between 6,585pt – 6,700pt to  hold support also on the back of  bargain hunters. Meanwhile, yesterday (12/9), Wall Street ended with the DJIA closed lower by 0pt or 0.0% to 35,755pt, and the S&P500 and the Nasdaq Composite also closed lower by 0.7% and 1.7%, respectively. The US latest weekly data for  initial claims for unemployment insurance totaled 184k units, below the 211k estimated by economists surveyed by Dow Jones and the lowest reading since 1969. This is not necessary a good news as the ultimate reasons behind the “labor shortage” in the US has not been confirmed yet. In addition market participants in Wall Street is in monitor to response on the country’s November CPI rate,  on release today, widely-estimated at +0.7% MoM and 6.7% YoY. However, the yield of the  benchmark 10-year US Treasury Note closed lower only by 2bp in the last close.

The JCI yesterday performed better-than-estimated and closed within the  resistance level, higher by 0.6%.  Trading statistics in the IDX yesterday was higher than year-to-date average with total value of IDR15.1tr  (average daily of IDR13.5tr) while foreign funds recorded a net Buy of relatively-high IDR2.6tr both for non and regular transactions.  Long-term funds is expected to benefit Indonesia economy, we note. At the other end, daily positivity rates for COVID-19 new cases in the centre of commerce Jakarta city stands at 0.2%, a good figure.

At the other end, yesterday in a volatile sessions  the WTI price  closed lower  by 2% to USD70.9/barrel  , mainly on demand worries as more countries to re-implement stricker activities’ limitation to curb COVID-19 and or new variants spread . Meanwhile, the USDIDR closed  at IDR14,351 vs. IDR14,348 the previous one.

We advise the following recommendations, for both trading and longer-time investment purpose. 𝐀𝐀𝐋𝐈, 𝐋𝐒𝐈𝐏 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘈𝘨𝘳𝘪, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘜𝘯𝘥𝘦𝘳𝘸𝘦𝘪𝘨𝘩𝘵 ), 𝐔𝐍𝐓𝐑, 𝐈𝐓𝐌𝐆, 𝐀𝐃𝐑𝐎, 𝐏𝐓𝐁𝐀 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘊𝘰𝘢𝘭 𝘔𝘪𝘯𝘪𝘯𝘨, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘔𝘢𝘳𝘬𝘦𝘵-𝘸𝘦𝘪𝘨𝘩𝘵), 𝐒𝐈𝐃𝐎, 𝐔𝐋𝐓𝐉, 𝐔𝐍𝐕𝐑, 𝐈𝐂𝐁𝐏 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘊𝘰𝘯𝘴𝘶𝘮𝘦𝘳, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘖𝘷𝘦𝘳𝘸𝘦𝘪𝘨𝘩𝘵 ), 𝐚𝐧𝐝 𝐀𝐂𝐄𝐒, 𝐒𝐂𝐌𝐀, 𝐌𝐀𝐏𝐈,𝐌𝐍𝐂𝐍 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘛𝘳𝘢𝘥𝘦, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘖𝘷𝘦𝘳𝘸𝘦𝘪𝘨𝘩𝘵),𝐚𝐧𝐝 𝐓𝐊𝐈𝐌 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘉𝘢𝘴𝘪𝘤 𝘐𝘯𝘥𝘶𝘴𝘵𝘳𝘺, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘔𝘢𝘳𝘬𝘦𝘵-𝘸𝘦𝘪𝘨𝘩𝘵).

Cheers,