Market Recap
JCI plunged deepest among regional peers. The steep tumble was caused by the financial sector, weighing regulation by the bourse, and the rupiah depreciation. Top Losers: Misc. Industry (-3.16%), Consumer (-2.50%), Finance (-1.77%).
The global markets closed lower yesterday as investors focused on the oil prices after OPEC warned on oil production. The rising global crude prices constrained the global markets and made Asia markets closed mixed. The U.S. markets fell, led by the decline in Apple and draft of auto tariffs. Meanwhile, the European markets were suppressed by the tech sector.
Today’s Outlook: Global Markets Plunge
We estimate JCI to move at a modest pace with the support range of 5709-5715 and the resistance range of 5809-5815. The negative sentiment is the global markets mostly are reining in the steep plunge. The U.S. stock markets dropped 2%, while Japan’s stock markets plunged 3%. Such bear mood was beset by the U.S. dollar index touching the highest level since June 2017.
The rally in the U.S. dollar index caused the rupiah to be depreciated at 14,820. However, it has yet to trigger foreign investors to post significant net sell at Indonesia’s stock markets.
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