The JCI September 28, 2020

๐’๐ž๐ฉ๐ญ๐ž๐ฆ๐›๐ž๐ซ ๐Ÿ๐Ÿ–, ๐Ÿ๐ŸŽ๐Ÿ๐ŸŽ

 

* ๐“๐ก๐ž ๐‰๐‚๐ˆ ๐ญ๐ซ๐š๐๐ข๐ง๐  ๐ซ๐š๐ง๐ ๐ž: ๐Ÿ’,๐Ÿ—๐ŸŽ๐ŸŽ๐ฉ๐ญ – ๐Ÿ“,๐Ÿ๐ŸŽ๐ŸŽ๐ฉ๐ญ (๐…๐ซ๐ข๐๐š๐ฒ ๐œ๐ฅ๐จ๐ฌ๐ž: ๐Ÿ’,๐Ÿ—๐Ÿ’๐Ÿ”๐ฉ๐ญ)

* ๐–๐š๐ฅ๐ฅ ๐’๐ญ๐ซ๐ž๐ž๐ญ ๐ž๐ง๐๐ž๐ ๐ก๐ข๐ ๐ก๐ž๐ซ ๐จ๐ง ๐ญ๐ž๐œ๐ก๐ง๐ข๐œ๐š๐ฅ ๐ซ๐ž๐›๐จ๐ฎ๐ง๐ ๐ข๐ง ๐ญ๐ก๐ž ๐ซ๐ž๐œ๐ž๐ง๐ญ ๐ฐ๐ก๐ข๐ฉ๐ฌ๐š๐ฐ ๐ญ๐ซ๐ž๐ง๐

* ๐“๐ก๐ž ๐‰๐‚๐ˆ ๐ข๐ฌ ๐ž๐ฑ๐ฉ๐ž๐œ๐ญ๐ž๐ ๐ญ๐จ ๐ž๐ฑ๐ญ๐ž๐ง๐ ๐ซ๐ž๐›๐จ๐ฎ๐ง๐ย  ๐š๐ฆ๐ข๐ ๐‚๐Ž๐•๐ˆ๐ƒ๐Ÿ๐Ÿ— ๐ฐ๐จ๐ซ๐ซ๐ข๐ž๐ฌ

 

Morning,

 

The Jakarta Composite Index (JCI) today (28/9) is expected to be within the range of 4,900pt โ€“ 5,100pt, to extend gain in the middle of COVID-19 uncertainties. ย Meanwhile, Friday last week (25/9) the DJIA closed higher by ย 359 ย points or 1.3% to 27,174pt, while S&P500 and the Nasdaq both increased by ย 1.6% and 2.3%, respectively. The United States (US) stock market gained Friday last week after posting steep losses during September, following a massive comeback since March bottom related to the outbreak of the COVID-19 spread. At present, investors monitor 2 (two) factors mainly on the parliamentary which include 1) voting ong the USD2.4tr of COVID-19 second aid package, and 2) hearing on president Trumpโ€™s nominee for Supreme Court to start on October 12.

 

๐”๐ง๐Ÿ๐š๐ฏ๐จ๐ซ๐š๐›๐ฅ๐ž ๐ž๐ฑ๐ญ๐ž๐ซ๐ง๐š๐ฅ ๐ž๐ฏ๐ž๐ง๐ญ๐ฌ ๐š๐ง๐ ๐ญ๐ข๐ ๐ก๐ญ๐ž๐ง๐ข๐ง๐  ๐ฆ๐จ๐ฏ๐ž๐ฌ ๐จ๐Ÿ ๐ฆ๐จ๐ง๐ž๐ญ๐š๐ซ๐ฒ ๐ฉ๐จ๐ฅ๐ข๐œ๐ข๐ž๐ฌ ๐ž๐ฑ๐ฉ๐ž๐œ๐ญ๐ž๐ ๐ญ๐จ ๐ฉ๐ฎ๐ฅ๐ฅ ๐›๐š๐œ๐ค ๐ข๐ง๐Ÿ๐ฅ๐จ๐ฐ๐ฌ ๐ญ๐จ ๐ญ๐ก๐ž ๐‰๐‚๐ˆ (๐Ÿ)

 

The JCIโ€™s Friday (25/9) gain by 2.1% that landed the index to 4,946pt was mainly driven by domestic buying on heavy market- capitalization counters such as BBCA, ASII, UNVR, BBRI, BMRI, and BBNI. These 6 (six) counters are also those included in the top rank of daily trading values as well as with a track record of sound fundamental. Apart of ASII that has more volatility for its direct exposures on the automotive and commodity sectors, the others are relatively less volatile due to its โ€œindirectโ€ nature of exposure.ย  In addition, all counters are of significant size in total assets so as to be the proxies of the countryโ€™s economy. ย The more confidences and more knowledgeable on these proxies counters have driven domestic investors to re-enter during the recent sell offs, both for short term traders as well as longer time investors.ย  The former bet on the incoming foreign funds while the latter to average cost down, we observe.ย  To remind, last week recorded that foreign net sell has occurred during the last 16 (sixteen) weeks to accumulate at IDR42.2tr or about similar to that of last year. To the contrary, ย number of local investors on August increased by 22% YoY.

 

Foreign inflow is expected to start at the slightest signs of tightening of the monetary acts both in the US and Europe, in our observation.

 

At the other end, last week ย the WTI price closed lower by 0.2% ย at USD40.2/barrel as compared to the previous one on demand fears. ย Meanwhile the USDIDR ย closedย  at IDR14.951 vs. IDR14.949 the previous one.

 

We advise the following recommendations, for both trading and longer-time investment purpose. ๐€๐€๐‹๐ˆ, ๐‹๐’๐ˆ๐ (๐ฌ๐ž๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐˜ˆ๐˜จ๐˜ณ๐˜ช, ๐š๐ฅ๐ฅ๐จ๐œ๐š๐ญ๐ข๐จ๐ง ๐ฌ๐ฎ๐ ๐ ๐ž๐ฌ๐ญ๐ข๐จ๐ง ๐˜œ๐˜ฏ๐˜ฅ๐˜ฆ๐˜ณ๐˜ธ๐˜ฆ๐˜ช๐˜จ๐˜ฉ๐˜ต ), ๐”๐๐“๐‘, ๐ˆ๐“๐Œ๐†, ๐€๐ƒ๐‘๐Ž, ๐๐“๐๐€ (๐ฌ๐ž๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐˜Š๐˜ฐ๐˜ข๐˜ญ ๐˜”๐˜ช๐˜ฏ๐˜ช๐˜ฏ๐˜จ, ๐š๐ฅ๐ฅ๐จ๐œ๐š๐ญ๐ข๐จ๐ง ๐ฌ๐ฎ๐ ๐ ๐ž๐ฌ๐ญ๐ข๐จ๐ง ๐˜”๐˜ข๐˜ณ๐˜ฌ๐˜ฆ๐˜ต-๐˜ธ๐˜ฆ๐˜ช๐˜จ๐˜ฉ๐˜ต), ๐†๐†๐‘๐Œ, ๐”๐๐•๐‘, ๐ˆ๐‚๐๐ (๐ฌ๐ž๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐˜Š๐˜ฐ๐˜ฏ๐˜ด๐˜ถ๐˜ฎ๐˜ฆ๐˜ณ, ๐š๐ฅ๐ฅ๐จ๐œ๐š๐ญ๐ข๐จ๐ง ๐ฌ๐ฎ๐ ๐ ๐ž๐ฌ๐ญ๐ข๐จ๐ง ๐˜–๐˜ท๐˜ฆ๐˜ณ๐˜ธ๐˜ฆ๐˜ช๐˜จ๐˜ฉ๐˜ต ), ๐€๐’๐ˆ๐ˆ (๐ฌ๐ž๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐˜ˆ๐˜ถ๐˜ต๐˜ฐ๐˜ฎ๐˜ข๐˜ต๐˜ช๐˜ท๐˜ฆ, ๐š๐ฅ๐ฅ๐จ๐œ๐š๐ญ๐ข๐จ๐ง ๐ฌ๐ฎ๐ ๐ ๐ž๐ฌ๐ญ๐ข๐จ๐ง ๐˜”๐˜ข๐˜ณ๐˜ฌ๐˜ฆ๐˜ต-๐˜ธ๐˜ฆ๐˜ช๐˜จ๐˜ฉ๐˜ต), ๐š๐ง๐ ๐€๐‚๐„๐’, ๐’๐‚๐Œ๐€, ๐Œ๐€๐๐ˆ (๐ฌ๐ž๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐˜›๐˜ณ๐˜ข๐˜ฅ๐˜ฆ, ๐š๐ฅ๐ฅ๐จ๐œ๐š๐ญ๐ข๐จ๐ง ๐ฌ๐ฎ๐ ๐ ๐ž๐ฌ๐ญ๐ข๐จ๐ง ๐˜–๐˜ท๐˜ฆ๐˜ณ๐˜ธ๐˜ฆ๐˜ช๐˜จ๐˜ฉ๐˜ต),๐š๐ง๐ ๐“๐Š๐ˆ๐Œ (๐ฌ๐ž๐œ๐ญ๐จ๐ซ ๐จ๐Ÿ ๐˜‰๐˜ข๐˜ด๐˜ช๐˜ค ๐˜๐˜ฏ๐˜ฅ๐˜ถ๐˜ด๐˜ต๐˜ณ๐˜บ, ๐š๐ฅ๐ฅ๐จ๐œ๐š๐ญ๐ข๐จ๐ง ๐ฌ๐ฎ๐ ๐ ๐ž๐ฌ๐ญ๐ข๐จ๐ง ๐˜”๐˜ข๐˜ณ๐˜ฌ๐˜ฆ๐˜ต-๐˜ธ๐˜ฆ๐˜ช๐˜จ๐˜ฉ๐˜ต).

 

 

Cheers,

 

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