The JCI February 19, 2024

𝐅𝐞𝐛𝐫𝐮𝐚𝐫𝐲 𝟏𝟗, 𝟐𝟎𝟐𝟒

• 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞:𝟕,𝟐𝟔𝟎 – 𝟕,𝟑𝟖𝟎 𝐩𝐨𝐢𝐧𝐭𝐬 (𝐅𝐫𝐢𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟕,𝟑𝟑𝟔 𝐩𝐨𝐢𝐧𝐭𝐬)

• 𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐰𝐢𝐭𝐡 𝐦𝐚𝐣𝐨𝐫 𝐞𝐪𝐮𝐢𝐭𝐲 𝐢𝐧𝐝𝐞𝐱𝐞𝐬 𝐜𝐥𝐨𝐬𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐛𝐲 𝐚𝐫𝐨𝐮𝐧𝐝 𝟎.𝟔%, 𝐦𝐚𝐢𝐧𝐥𝐲 𝐩𝐫𝐨𝐦𝐩𝐭𝐞𝐝 𝐛𝐲 𝐭𝐡𝐞 𝐫𝐞𝐥𝐞𝐚𝐬𝐞 𝐨𝐟 𝐚 𝐡𝐢𝐠𝐡𝐞𝐫 𝐭𝐡𝐚𝐧 𝐞𝐱𝐩𝐞𝐜𝐭𝐞𝐝 𝐉𝐚𝐧𝐮𝐚𝐫𝐲’𝐬 𝐩𝐫𝐨𝐝𝐮𝐜𝐞𝐫 𝐩𝐫𝐢𝐜𝐞 𝐢𝐧𝐝𝐞𝐱 (𝐏𝐏𝐈) 𝐢𝐧 𝐭𝐡𝐞 𝐔𝐧𝐢𝐭𝐞𝐝 𝐒𝐭𝐚𝐭𝐞𝐬 (𝐔𝐒)

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

Morning,

The Jakarta Composite Index (JCI) today (2/19) is expected to trade in the range of  7,260 – 7,380 points to attempt higher with the support of bargain hunters.

Meanwhile, on Friday last week  (2/16) on Wall Street, the DJIA closed lower by 145 points or 0.37% to 38,628 points. The S&P500 and the Nasdaq Composite closed lower by 0.48% and 0.82%, respectively.

The PPI, a measure of prices received by producers of domestic goods and services in the US, rose 0.3% for the month (vs. a consensus estimate of 0.1%:  December: -0.2%), the biggest move since August. The forward market is now pricing in a higher rate of possibility (90% vs.45% one month ago) that the US central bank to shift the first rate cut to be in June this year, from previously in March.

Last week, the yield of the 10-year  US  Treasury was 6 basis points higher at  4.295%, while the yield on the 2-year Treasury bond was last trading at 4.66% following a rise of 9 basis points.

Last week, the WTI futures contract for March gained 1.49% to USD79.19/barrel, mainly triggered by supply-side risks arising from the latest development among Israel and the Middle East countries. Meanwhile, the USDIDR closed at IDR15,654 vs. IDR15,606 the previous one.

Cheers,