Today’s Outlook:
• U.S. stocks ended little changed in holiday-shortened trading on Friday (24/11/23), with low volume and conviction as investors watched the start of the seasonal shopping season for signs of consumer resiliency. The Dow Jones Industrial Average rose 0.33%, the S&P 500 gained 0.06%, and the Nasdaq Composite dropped 0.11%. Of the 11 major sectors in the S&P 500, nine ended with gains, led by healthcare. Communication services and tech closed in the red.
• S&P Global’s advance purchasing managers’ index (PMI) showed steady U.S. business activity in November, but private sector employment declined for the first time in almost 3-1/2 years, possibly due to the Federal Reserve’s restrictive monetary policy.
• Next week’s most anticipated data include the Commerce Department’s second estimate on third-quarter gross domestic product on Thursday, followed on Friday by its wide-ranging Personal Consumption Expenditures (PCE) report, which will provide further clues on the extent of the Fed’s rate-hike impact.
• The focus has increasingly shifted to the likely timing of the U.S. central bank’s first rate cut, which will be largely determined by the rate at which inflation cools down toward the Fed’s average 2% target. New and pending home sales, home prices, consumer prices and ISM PMI are also expected next week.
• JCI closed last week with its best performance since the end of September, where the index tried to stay in the 7000s again; it even tested the Resistance of the previous High near 7050. Unfortunately, the last candle technically created was similar to Shooting Star, which indicates bearish reversal is on the horizon. At least JCI will try to maintain the nearest psychological Support level of 7000 to keep this rally intact until the end of the year. NHKSI RESEARCH considers that market participants also need to pay attention to foreign net buy value to ensure this bullish aura can realize year-end window dressing action.

Company News
• HMSP : Build 2 New Factories for IDR638 Billion
• TPIA : Prepare USD1 Billion to Build New Plant
• INDY : Subsidiary to Produce Gold in 2025

Domestic & Global News
• It’s Official: House Purchases up to a Maximum of IDR 5 Billion are VAT-Free
• Lagarde: European Central Bank (ECB) Rate Hike Could Pause

Download full report HERE.