The Dow Jones, which moved relatively sideways on the long Eid holiday, posted another weakening on Tuesday trading (25/04/23) triggered by investor concerns over the banking crisis that re-emerged following the 1/2023 quarterly performance reports of bank issuers that began to come out, where pressure on bank profitability is likely to continue until the second quarter. All three major Wall Street indexes closed in negative territory, with the Nasdaq leading the decline at minus 2%. US Consumer Confidence data fell to a 9-month low this April. Energy stocks were the biggest drag on the broader market, pressured by falling oil prices as a result of a potential global economic slowdown. Investors are bracing themselves for a 25bps rate hike at the next scheduled FOMC Meeting on May 3rd. Today will be awaited a number of economic data from regional markets such as: Gfk German Consumer Climate (May) and UK Labor Productivity (4Q22) which are predicted to show a contractionary trend. Later in the evening at 1930 WIB, US Durable Goods Order (Mar.) and US Trade Balance (Mar.) data will be released which will provide an insight into the strength of the US economy.

Bank Indonesia forecasts that Indonesia’s economic growth in 2023 could reach 4.8%-5.3% supported by increased domestic consumption driven by normalized mobility, as well as positive export performance. The Indonesian capital market, which will reopen its trading session today after the Eid al-Fitr holiday, is expected to first adjust to market interest with a range of Support – Resistance movement: 6780-6840; a drop below the MA20 Support level suggests investors/traders to maintain a Wait & See stance first.

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