To arrest the global economic deterioration, the Fed, European Central Bank (ECB), People’s Bank of China (PBOC), and Bank Indonesia (BI) took the lead in cutting their rates. The dovish stance made equities more desirable and strengthened markets to a setback. Apart from central dovish messages was worsening bilateral relations between China and the US after Chinese trade representatives delayed a visit to farms in the American heartland. Markets worried that the cancellation could delay October’s constructive talks, and prone to markets’ fears of two economies’ worsening relations, JCI gave up gains. Trump’s harsh gesture of not tolerating any unfair trade deals between the US and China even tangled the world’s state embroils in trade disputes. Back in the domestic backdrop, political unrest across Indonesia made JCI vulnerable to massive foreign outflows. On Friday of Sept. 27, JCI gave up gains, similar to most of Asia markets’ bearish state due to the US political uncertainty.
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