Foreign Investment in SBN
Last week, foreign investors outflows IDR3.430 trillion on Indonesian sovereign bonds. Indonesia Composite Bond Index (ICBI) closed slightly higher at 0.26% to 250.81. Indonesia’s conducive political circumstances provided a boost to prices of Indonesian sovereign bond (SBN), climbing higher on Monday (05/27) despite the global bonds markets’ anxiety about Theresa May’s resignation as Conservative Party leader.
Indonesian sovereign bond prices revised lower for two-day losing streak on Tuesday (05/28) and Wednesday (05/29) on the ground that the pickup in crude prices and weakening USDIDR level. Yet, Indonesian’s upgraded sovereign credit rating into BBB from BBB- with stable outlook by S&P drove Indonesian sovereign bond’s prices up before closing the week.
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