The JCI March 22, 2021

𝐌𝐚𝐫𝐜𝐡 𝟐𝟐, 𝟐𝟎𝟐𝟏

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞: 𝟔,𝟐𝟓𝟎𝐩𝐭 – 𝟔,𝟒𝟎𝟎𝐩𝐭 (𝐅𝐫𝐢𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟔,𝟑𝟓𝟔𝐩𝐭)

* 𝐖𝐚𝐥𝐥 𝐒𝐭𝐫𝐞𝐞𝐭 𝐞𝐧𝐝𝐞𝐝 𝐰𝐢𝐭𝐡 𝐭𝐡𝐞 𝐃𝐉𝐈𝐀 𝐞𝐧𝐝𝐞𝐝 𝐥𝐨𝐰𝐞𝐫 𝐦𝐚𝐢𝐧𝐥𝐲 𝐟𝐨𝐫 𝐟𝐞𝐚𝐫 𝐨𝐟 𝐧𝐞𝐠𝐚𝐭𝐢𝐯𝐞 𝐢𝐦𝐩𝐚𝐜𝐭 𝐨𝐟 𝐡𝐢𝐠𝐡𝐞𝐫 𝐢𝐧𝐭𝐞𝐫𝐞𝐬𝐭 𝐫𝐚𝐭𝐞𝐬 𝐨𝐧 𝐞𝐚𝐫𝐧𝐢𝐧𝐠𝐬

* 𝐓𝐡𝐞 𝐃𝐉𝐈𝐀 𝐢𝐬 𝐞𝐱𝐩𝐞𝐜𝐭𝐞𝐝 𝐭𝐨 𝐟𝐥𝐮𝐜𝐭𝐮𝐚𝐭𝐞 𝐚𝐧𝐝 𝐛𝐞 𝐬𝐮𝐩𝐩𝐨𝐫𝐭𝐞𝐝 𝐛𝐲 𝐛𝐚𝐫𝐠𝐚𝐢𝐧 𝐡𝐮𝐧𝐭𝐞𝐫𝐬

Morning,

The Jakarta Composite Index (JCI) today (3/22) is expected to be in the range of 6,250pt – 6,400pt,  to fluctuate and  supported by bargain hunters. Meanwhile, Friday last week (3/19), the DJIA closed lower by 234 points or 0.7% to 32,628pt, while the S&P500 and the Nasdaq ended lower by 0.06% and higher by 0.8%, respectively.  Stakeholders were in monitor for the slightest sign of tightening acts by the central banks, and in the United States (US) to include the non-extention of Supplementary Liquidity Ratio facilities for banks.

In domestic market, consumer confidence is key in addition to stable financial infrastructure, in order for the JCI to hold, in our note.  USDIDR dynamics is currently seemed under controlled, and by historical evidence,  stakekholders can normally absorp movement to the psychology limit of around USDIDR15,000, other macro-indicators in stable conditions.  With this exchange value framework, businesses is expected to carry-out normally in the medium term.

At the other end, last week  the WTI price closed higher by  2.4% to USD61.4/barrel as compared  to the previous close. Meanwhile, the USDIDR  closed  at IDR14,476 vs. IDR14,412 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,