The Non-Cyclical Consumer has become a priority amid high inflation. For a week, Non-Cyclical Consumers strengthened by almost 5%, or led the sectoral strengthening, while also working as the JCI’s driving force. A number of Non-Cyclical Consumer stocks with the largest Market Cap., three of them: UNVR, HMSP, and ICBP, managed to gain 10%; 4%, and 8% WoW, amid the 3Q22 Earning Results which projected to be having good performance. On the other hand, NHKSI Research anticipates the share price that Price In. Although relatively defensive, this sector faces several challenges, such as increasing Cigarette Excise and applying Plastic Excise to Sweetened Beverages Excise. Last week, investors also responded positively regarding the BI’s Hawkish, which raised the BI 7DRR by +50 Bps to 4.75%. BI responded to the Overshooting inflation expectation with Core Inflation and Headline Inflation at 3.21% YoY and 5.95% YoY, respectively. Furthermore, the rupiah exchange rate again depreciated or broke through the psychological level of IDR 15,600/USD last weekend.

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