Foreign Inflows into SBNs
Foreign investors pulled their money of IDR0.30 trillion out of Indonesian government sovereign bonds (SBNs) investment. The Indonesia Composite Bond Index (ICBI) nudged up 0.38% to 263.83. On Monday (07/08), prices of SBNs revised lower as the robust US job data dampened optimism about the Fed’s possible cut rate, but the foreign ownership of above IDR1,000 trillion was the catalyst for a slight rising of SBNs pricing, re-corrected downwards on Wednesday (07/10) due to the Indonesia rupiah depreciation. Finally, SBNs prices notching up on Thursday and Friday thanks to the Fed’s Powell hint of July’s cut rate.

Sharia SBNs Auction
On Tuesday’s auction of SBNs dated July 9th, 2019, the authorities secured funds of IDR8 trillion from the total incoming bid of IDR36.44 trillion. The funds secured were equal to the indicative target of IDR8 trillion as PBS014, SBNs with 2-year tenor, gained the highest bid of IDR13.76 trillion.


Download full report HERE.