Wall Street posts its worst performance of the year, with all three major indexes falling by around 2%, as investors interpreted a rebound in US business activity in Feb. as reflected in the S&P Global Composite PMI figure, which moved into the expansionary territory of 50.2; another indicator that the Fed will keep interest rates high to control inflation. Market participants have been revising upwards where they see the Fed fund rates peaking at a higher level of around 5.35% in July; as inflation is still far from the Fed’s 2% target. The US benchmark 10-year Treasury notes hit a three-month high, almost approaching a 4% yield. The closest economic data release awaited by the market is the FOMC Meeting Minutes, which is expected to come out early Thursday morning (WIB). Meanwhile, from the European part, the Purchasing Manager Index level of their manufacturing sector is averagely weakening from the previous month, as happened in France, Germany, Eurozone; However, the service sector looks more expansive.

JCI moved volatile on Thursday trading, started the day with a rise to 6923 but closed it in the negative territory of 6873.4; down 21 points/-0.31%, followed by IDR231.73 billion foreign net sell as investors waited for a clearer direction from the regional market after DJIA reopened. Considering the global market sentiment, NHKSI RESEARCH predicts that this consolidation will continue towards the MA50/6825 Support; particularly because the JCI Closing position yesterday also fell below MA10 & MA20 Support.

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