The JCI January 25, 2022

𝐉𝐚𝐧𝐮𝐚𝐫𝐲 𝟐𝟓, 𝟐𝟎𝟐𝟐

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞:𝟔,𝟓𝟖𝟓𝐩𝐭 – 𝟔,𝟕𝟎𝟎𝐩𝐭 (𝐘𝐞𝐬𝐭𝐞𝐫𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟔,𝟔𝟓𝟓𝐩𝐭)

* 𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐰𝐢𝐭𝐡 𝐦𝐚𝐣𝐨𝐫 𝐞𝐪𝐮𝐢𝐭𝐲 𝐢𝐧𝐝𝐢𝐜𝐞𝐬 𝐜𝐥𝐨𝐬𝐞𝐝 𝐡𝐢𝐠𝐡𝐞𝐫 𝐛𝐲 𝐬𝐨𝐦𝐞 𝟎.𝟒%, 𝐦𝐚𝐢𝐧𝐥𝐲 𝐨𝐧 𝐭𝐞𝐜𝐡𝐧𝐢𝐜𝐚𝐥 𝐫𝐞𝐛𝐨𝐮𝐧𝐝 𝐟𝐨𝐥𝐥𝐨𝐰𝐢𝐧𝐠 𝐯𝐨𝐥𝐚𝐭𝐢𝐥𝐞 𝐬𝐞𝐬𝐬𝐢𝐨𝐧𝐬 𝐰𝐡𝐢𝐜𝐡 𝐚𝐫𝐨𝐬𝐞 𝐟𝐫𝐨𝐦 𝐭𝐡𝐞 𝐮𝐧𝐜𝐞𝐫𝐭𝐚𝐢𝐧𝐭𝐢𝐞𝐬 𝐜𝐨𝐧𝐜𝐞𝐫𝐧𝐢𝐧𝐠 𝐬𝐭𝐞𝐩𝐬 𝐨𝐟 𝐭𝐡𝐞 𝐭𝐢𝐠𝐡𝐭𝐞𝐧𝐢𝐧𝐠 𝐦𝐨𝐧𝐞𝐭𝐚𝐫𝐲 𝐩𝐨𝐥𝐢𝐜𝐢𝐞𝐬 𝐢𝐧 𝐭𝐡𝐞 𝐔𝐧𝐢𝐭𝐞𝐝 𝐒𝐭𝐚𝐭𝐞𝐬 (𝐔𝐒), 𝐬𝐜𝐡𝐞𝐝𝐮𝐥𝐞𝐝 𝐭𝐨 𝐛𝐞 𝐚𝐧𝐧𝐨𝐮𝐧𝐜𝐞𝐝 𝐨𝐧 𝐖𝐞𝐝𝐧𝐞𝐬𝐝𝐚𝐲 (𝟏/𝟐𝟔)

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

Morning,

The Jakarta Composite Index (JCI) today (1/25) is expected to trade between 6,585pt – 6,700pt  to hold ground and  be supported  bargain hunters. These days, hard-beaten and fundamentally sound counters again should be an interesing object for those to add-up positions in the Indonesia equity market, in our view.

Meanwhile, yesterday (1/24),  Wall Street  ended with the DJIA closed higher by 99pt, or 0.3%, while the S&P500 and the Nasdaq Composite both closed higher by 0.3% and 0.6%, respectively.

The JCI today is expected to be volatile given the sentiments of regional leads. In addition,  the capital city Jakarta recorded its first double-digits positivity rate of new cases of COVID-19  for the year of 11% (1/23) against the record-low of 0.2% -0.4%. The PR rates  started at 3.2% on January 15 and kept increasing into the 11% level. The Indonesian government has periodically adjusted the level of activity restrictions accordingly.  On historical observations, activity restrictions is also an effective measure to control the spread of new cases.

At the other end, yesterday  the WTI price closed lower by 2.2% to USD83.3/barrel,  mainly hit by a stronger USD and investor concerns over the possibility of quicker than expected increases of the interest rates by the US  Federal Reserve.   Meanwhile, the USDIDR closed  at IDR14,354 vs. IDR14,327  the previous one.

Cheers,