Strong Dollar has a negative impact on export-oriented issuers, investors are also anticipating a number of retail issuers, which offer bigger discounts, in order to reduce the buildup of inventory, which then has the opportunity to suppress margins. Closing 3Q22, the Dow Jones led Wall Street’s losses, with the S&P500 and Nasdaq down 1.5% each. Meanwhile, consumer spending accounts for 2/3 of US economic activity, growing +0.4% in August or PCE data shows consumers continue to shop, albeit at higher prices, ensuring the Fed’s tight monetary policy continues longer than investors expected.
In addition to inflation data, investors are looking forward to the release of Indonesia’s Manufacturing PMI data today. Previously, the Indonesian Manufacturing PMI in August expanded again, at 51.7, the highest level in the last four months. In addition to relatively subdued inflation, manufacturing expansion was driven by increased demand. Meanwhile, Indonesia’s Headline inflation for September is projected at 1.17% MoM (Vs. Aug. -0.21% MoM) and 6.00% YoY (Vs. Aug. 4.69% YoY). In the midst of a number of sentiments, NHKSI Research projects that today’s JCI has the opportunity to move bullish, with support ranges: 7,000 / 6,930 and resistance: 7,060 / 7,120-7,140 / 7,200-7,225.
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