Market Recap
JCI closed lower yesterday because of the bank sector’s worse performance and the discontinued net foreign buy. BoJ’s stance of lower inflation hampered JCI. Top Losers: Finance (-1.09%), Consumer (-0.32%), Infrastructure (-0.14%).

Daily Foreign & Domestic Sector Movement
Foreign investors posted the net sell of IDR142 billion. Although the amount was relatively small, they started to be cautious of Indonesia’s market. The banking sector still has the biggest contribution to the foreign net sell.

Foreign investors digest the outlook of global economic growth, while domestic investors post the net sell of IDR73 billion on the cigarette sector. We estimate the domestic net sell was triggered by “reduce” recommendation issued by CIMB with HMSP’s target price of IDR2.800. That results in investors’ concerns about HMSP recommendation.

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