Inflation projections for 2023 remain high, Nasdaq weakens by 3%. Data from U. of Mich. showed consumer expectations for US inflation 1Y forward rose to 5.2% from 4.7% last September, triggered by the hike of gasoline prices. The Nasdaq technology index led Wall Street’s downwards, as UST2Y and UST10Y yielded a rise to 4.5% and 4%. Furthermore, US Retail Sales data Sept. MoM grew stagnant by 0.0% (Vs. Aug. 0.4%) amid the rise of prices. The stagnant growth indicated that consumers remained resilient and kept the high inflation stable. On the other hand, investors are still digesting the release of 3Q22 Earning Results.

Manufacturing expansion boosted September imports. NHKSI Research observed that manufacturing activity requires several raw materials that are still dominated by imports. S&P Global Mfg. Indonesia’s Sept. data showed an aggressive expansion to level 53.7 (Vs. Aug. 51.7). Then, Indonesia’s export faced a normalization challenge towards several commodity prices and the economic recession potential for a number of Indonesia’s main export trading partner countries. According to Bloomberg’s survey, Trade Balance Indonesia recorded a surplus of +USD 4.8 Billion (Vs. Aug. +USD 5.8 Billion) with Export YoY +27.9% (Vs. Aug. +30.1%); and Import YoY +33.2% (Vs Aug. +32.8%). At the beginning of the week, we projected JCI Bearish, anticipate a technical rebound, and limited downside.

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