JCI Is Trapped in Bearish Trend
JCI in early last week was bearish because the US named Indonesia as a developed economy to necessarily mean the removal of any incentives and trading subsidies previously entitled to Indonesia. In the domestic background, JCI was still bearish as it still saw foreign outflows, triggered by investors’ fears of coronavirus pandemic to have thrown China’s economy into disarray. JCI was still weak in the mid-week amid the shattered global economic face, to prevent Indonesia from ailing state, the Indonesian government rolls out economic development incentives subsuming accelerated disbursement of the pre-working fund; increasing incentives for staple foodstuffs, rising subsidized fund for KPR interest rates, incentives for tourism and airline industries, discount on jet fuel prices provided by Pertamina, relocation of a specific-purpose grant (Dana Alokasi Khusus or DAK) to develop infrastructure, to tax exemptions for hotels and restaurants. On Friday of Feb. 28, 2020, JCI retreated.
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