The JCI January 19, 2023

𝐉𝐚𝐧𝐮𝐚𝐫𝐲 𝟏𝟗, 𝟐𝟎𝟐𝟑

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞: 𝟔,𝟕𝟎𝟎𝐩𝐭 – 𝟔,𝟖𝟐𝟎𝐩𝐭 (𝐘𝐞𝐬𝐭𝐞𝐫𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟔,𝟕𝟔𝟔𝐩𝐭)

* 𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐰𝐢𝐭𝐡 𝐦𝐚𝐣𝐨𝐫 𝐞𝐪𝐮𝐢𝐭𝐲 𝐢𝐧𝐝𝐞𝐱𝐞𝐬 𝐜𝐥𝐨𝐬𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐛𝐲 𝐚𝐥𝐦𝐨𝐬𝐭 𝟐% 𝐦𝐚𝐢𝐧𝐥𝐲 𝐨𝐧   𝐡𝐢𝐠𝐡𝐞𝐫 𝐟𝐞𝐚𝐫 𝐨𝐟 𝐫𝐞𝐜𝐞𝐬𝐬𝐢𝐨𝐧 𝐚𝐥𝐨𝐧𝐠 𝐰𝐢𝐭𝐡 𝐭𝐡𝐞 𝐫𝐞𝐥𝐞𝐚𝐬𝐞 𝐨𝐟 𝐥𝐨𝐰𝐞𝐫-𝐭𝐡𝐚𝐧-𝐞𝐱𝐩𝐞𝐜𝐭𝐞𝐝 𝐃𝐞𝐜𝐞𝐦𝐛𝐞𝐫’𝐬 𝐩𝐫𝐨𝐝𝐮𝐜𝐞𝐫 𝐩𝐫𝐢𝐜𝐞 𝐢𝐧𝐝𝐞𝐱  𝐨𝐟 𝐭𝐡𝐞 𝐔𝐧𝐢𝐭𝐞𝐝 𝐒𝐭𝐚𝐭𝐞𝐬 (𝐔𝐒)

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

Morning,

The Jakarta Composite Index (JCI) today (1/19) is expected to trade between 6,700pt– 6,820pt to attempt higher supported by bargain hunters.

The JCI is expected to respond to the announcement of Indonesia’s central bank Bank Indonesia (BI) latest wrap-up on the country’s economic and monetary stance. BI is scheduled to complete the 2-day policy meeting this afternoon.

Yesterday (1/18) on Wall Street, the DJIA closed lower by 614 points or 1.8% to 33,297pt, while the S&P500 and the Nasdaq closed lower by 1.6% and 1.2%, respectively.

The US’ prices for wholesale goods and services (PPI) fell sharply in December, at a -0.5% month–over–month as compared to -0.1% of the consensus estimate. The decline was the biggest on a monthly basis since April 2020. The release of the PPI data yesterday triggered renewed and more concern about recession in the US and the rest of the world.

The 10-year US Treasury yield yesterday dropped by 14 basis points at 3.34%, and the yield on the policy-sensitive 2-year Treasury was trading lower by 12 basis points at 4.078%.

Yesterday, the price of WTI fell by 0.5% at USD79.5/ barrel, mainly on fear of a higher USD Index along with the latest hawkish comment of Jerome Powell, the US central bank chairman. The USDIDR closed at  IDR15,137 vs. IDR15,154 the previous one.

Cheers,