The global market was somewhat buoyant earlier this week on favorable economic data and bargain hunting after the market weakness last week, which was the most significant decline this year. However, investors remained vigilant over speculation of higher interest rate hikes in the US & Europe. Fed Futures even priced interest rates to peak at 5.4%, leading to speculation of a third rate hike in June and a higher 50 bps hike at the March FOMC Meeting. Additionally, US economic data revealed that US Core Capital Goods Orders (Jan.) increased above estimates, and Pending Home Sales (Jan.) also rose to the highest level in 2.5 years. At the same time, comments from Federal Reserve officials seemed to warn against any illusion that inflation would return quickly to the Fed’s target (2%), with the US’s cost of goods and services still stubbornly high. The 2-year US Treasury yield slipped by 2 bps to 4.785%, while the 10-year dropped 2.3bps to 3.925% yield. Indonesian financial market sentiment was influenced by the release of government debt data, which reached IDR 7754.98 trillion (Jan.), an equivalent to a GDP ratio of 38.56%; a slight increase from last December’s position of IDR 7733.99 trillion. On the other hand, Rupiah exchange rate weakened further to the level of IDR 15,274/USD.

Corporate News
Astra Sedaya Finance Prepares Funds to Pay Bond Coupons PT Astra Sedaya Finance has an obligation to pay the tenth coupon for Astra Sedaya Finance Sustainable Bond V Phase I Year 2020 Series B with a fixed interest rate. In its disclosure of information to the IDX, the company said it had prepared funds to pay the coupon. The value of funds that have been prepared is IDR 8.99 billion. In detail, the payment is based on the total principal of bonds worth IDR 473 billion, with an interest or coupon of 7.6%. Astra Sedaya will pay the funds to KSEI on March 1, 2023. The interest payment plan will be made on March 2, 2023. Those entitled to receive the funds are Astra Sedaya bondholders registered at KSEI with a record date of February 24, 2023. (Kontan)

Domestic Issue
Government Auctioned Seven Series of SUN with a Target of IDR 34.5 Trillion Through the Directorate General of Financing and Risk Management (DJPPR), Ministry of Finance, the government will conduct an auction of Rupiah-denominated Government Securities (SUN) today (28/2). This auction is targeted to raise IDR 23 trillion to IDR 34.5 trillion. Based on a statement from DJPPR on its official website, the auction of seven series of SUN denominated in Rupiah is conducted to fulfil part of the financing target for the 2023 State Budget. The auction will be held today from 09.00 to 11.00 WIB, while the settlement date is Thursday, March 2, 2023. (IDX Channel)

US10YT seems to stay on MA10 support, although RSI has started to reverse down from the Overbought area. ADVISE: pay close attention to the 3.89 yield level support in case you need to take profit immediately. Also, set your Trailing Stop, let your profit run. NEXT TARGET: 4.00 / 4.24-4.34 / 4.48-4.49. ID10YT shows an increasingly bullish movement towards the TARGET yield of 6,987. ADVISE: Set your Trailing Stop, let your profit run. RSI is indeed approaching the Overbought area but the Uptrend is still relatively robust. NEXT TARGET: 7.00 / 7.06 / 7.19-7.20.

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