The Minutes from the Fed’s Last Meeting
The Fed’s minutes indicate that the Fed’s officials would be content to let inflation briefly runs above the 2%. The Fed’s officials are still debating whether the consistency of inflation can be maintainable further or only temporarily. The minutes boost investors’ confidence that the hike in the Fed’s rate will be not more than 3x in 2018.
Growth of 8.94% in Banking Loan of April
Based on the Financial Service Authority’s data, the banking loan of April 2018 grew by 8.94% y-y. The growth was higher than the growth of 8.5% in March. This backdrop, coupled with the hike in import and the recovery in retail sales indicates the recovery in Indonesia’s domestic economic condition.
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