Investors anticipate the impact of high inflation on a number of US issuers. Earlier in the week, Wall Street markets closed lower, after market participants observed the extent to which high inflation in the United States (US), at 8.5% YoY, will affect the projected net profit of a number of issuers. These investors’ concerns, slightly ignored the movement of the US bond market, with the yield on the 10-year US Treasury close to the psychological level of 3%.

Indonesia’s trade performance supported the JCI. At the start of trading earlier in the week, JCI continued to move in the positive territory, closing up 0.6% to a level of 7,275. A total of eight sectors rose, with basic materials and transportation & logistics leading gains, increasing by 2.6% and 1.9%, respectively. Yesterday’s strengthening was also supported by foreign investors’ buying actions, recording a net buy of IDR 694 billion, with the top buys of shares such as TLKM and BBRI. Market participants responded positively to Indonesia’s trade balance which recorded a surplus of USD 4.53 billion (Vs. Cons. USD 3 billion), exceeding the previous month’s surplus of USD 3.83 billion.

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