Market Recap
JCI moderated during yesterday’s intraday trading. The financial & trading sectors, the rupiah depreciation, and profit taking moderated JCI’s pace. Top Losers: Agriculture (-1.34%), Trade (-0.59%), Infrastructure (-0.41%).

Daily Foreign & Domestic Sector Movement
Foreign inflows of IDR260 billion flocked into JCI. Foreign investors still targeted the banking sector, as BBCA’s stocks secured the net buy of nearly IDR130 billion. In 2019, JCI has accounted for foreign inflows of IDR11.5 trillion, while the bonds markets have had inflows of IDR34 trillion. BI’s cautious stance builds foreign investors’ confidence in rupiah’s stability.

Meanwhile, domestic investors posted the net buy of IDR50 billion in the coal mining sector. Corrections to the coal sector are underlined by South Korean’s regulation of renewable energy as the world’s fourth biggest coal importer (11% of the total world’s demand). South Korea’s authorities raise tax imposed on coal by 27% to USD41/ton. The regulation takes into effects in April 2019 and shifts long-term focus for constructing renewable energy and gas power plants. That causes ITMG’s stocks to be revised downward by 2.25%, allowing domestic investors to buy on weakness.

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