Indonesian Market Recap
JCI closed lower yesterday due to the dramatic decline in the banking sector amid the expectancy of hike in reference rate. Top Losers : Finance (-4.07%), Consumer (-2.38%), Mining (-2.19%).
Today’s Outlook: Government Bond Yield Tops 7%
Today we estimate JCI to edge down slightly with the support range of 6032-6044 and resistance range of 6102-6117. Investors are required to keep their eyes close on the government bond yield topping 7% yesterday. The backdrop triggered depreciated rupiah. Another to it, investors are wait-and-see to the possibility of hiking benchmark rate by BI with a view to curb foreign outflow. Now, investors can focus on the mining sector in light of the maintainable rally in commodities prices.
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