Today’s Outlook:

• S&P 500 closed above 5,000 for the first time on Friday (09/02/24) and Nasdaq briefly traded above 16,000, as the record run in stocks continued, underpinned by a rally in tech stocks and economic data showing inflation continues to trend lower. Revised US consumer price index data showed that the annualized inflation rate in the fourth quarter was unchanged at 3.3%, suggesting that the easing of price pressures over the past year is still intact. Shares of chipmakers also drove the rally in the technology sector as demand for chips will increase as the artificial intelligence (AI) technology boom strengthens. Strong US economic data and hawkish comments from Fed officials in recent days have dashed hopes that the central bank will start cutting interest rates in March. Market participants are awaiting the release of  January CPI data tomorrow for further clues on when the Fed will cut borrowing costs aka benchmark interest rates.
• ASIA & EUROPE MARKETS: While the main Asian markets (Japan, China, South Korea) are still on holiday, this Monday it is likely that market participants will direct their attention to Europe, especially because of the Eurogroup Meetings. There will be more economic indicators from both continents tomorrow, such as: Japan PPI (Jan), Indonesia Consumer Confidence (Jan), UK labor report, and German ZEW Economic Sentiment (Feb).
• JCI closed with a Dark Cloud-like candle last Wednesday, closing the short trading week with doubts again whether there is not a strong enough reason to break the important Resistance of 7280, especially in a political week that determines the future of Indonesia’s presidency & cabinet for the next 5 years. NHKSI RESEARCH expects market participants to be quite fixated on monitoring the results of the presidential election which quick count will soon come into focus in the next few days, after citizens who are old enough exercise their voting rights on 14Feb. Anticipate volatile trading transactions this week, where it is expected that foreign buying interest will continue this week as the democratic party takes place.

Company News
• MDKA: Budgeting IDR2.76 T for the Copper Project
• ENRG: Subsidiary Receives Jumbo Loan
• TINS: Production Increasingly Affected by Illegal Mining

Domestic & Global News
• Soaring Prices, Bapanas Bluntly Admits RI Lacks Rice Stocks
• Bank of Italy Governor Urges European Central Bank to Cut Interest Rates Soon

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