JAKARTA (TheInsiderStories) – Good morning. We present several relevant news items that might provide useful intelligence for your business decisions today :
JCI has the potential to strengthen.
William Surya Wijaya from PT Indosurya Mandiri Sekuritas predicts the Jakarta Composite Index (JCI) will move in a range of 5,797 – 5,903 on Tuesday (12/9). Yesterday JCI closed at 5871.881 or 0.252 percent higher over the previous day. Stocks to watch on today’s trading are: HMSP, GGRM, UNVR, AKRA, TLKM, EXCL, MYOR, JSMR and PTPP.
Indonesian Retail Sales drops 3.3% in July
Retail sales in July 2017 declined in line with the normal return of consumer patterns after Ramadhan and Eid Al-Fitr. This is reflected in a real retail sales index of 209.9, or down 3.3 percent (YoY), after the preceding month grew 6.3 ercent (YoY). The decline in retail sales occurred for both food and non-food groups. Regionally, the decline in annual growth of IPR occurred in cities such as Semarang, Denpasar, and Manado. Retail sales are expected to revive in August 2017. This is indicated by the IPR of August 2017 which grew 5.3 percent (YoY), higher than the previous month. A 10.4 percent increase in retail sales is estimated to occur in the food group, after slipping by -0.3 percent the previous month. Retail sales growth for non-food groups will also improve from -7.8 percent (YoY) to -1.9 percent(YoY). The survey indicated that price rises at the retail level over the next three months increased, compared to the previous month. The indication is reflected in the coming 3 months Price Expectation Index (IEH) of 135.5, higher than 133.3 in the previous month.
Domestic motorcycle sales rose 3.1% in August
Based on data from the Indonesian Motorcycle Association, August sales totaled 554,923 units, or 3.1 percent over the 538,176 units reported in July. However, the total from January to August 2017 only reached 3,793,645 units or down 0.05 percent from the same period last year (3,795,570 units). The Association has set a target of 5,750,000 units of motorcycle sales by the end of 2017. Previously, AISI has also revised its sales target from 6.2 million units to 5.9 million units and this is now revised to 5,750,000 units
World Bank: US Topped 10 largest Economies in The World
The economy of the United States is the largest in the world. At US$18 trillion, it represents a quarter share of the global economy (24.3 percent), according to a World Bank Report. China follows, with $11 trillion, or 14.8 percent of the world economy. Japan is in third place with an economy of $4.4 trillion, which represents almost 6% of the world economy. European countries take the next three places on the list: Germany in fourth position, with a $3.3 trillion economy; the United Kingdom in fifth with $2.9 trillion; and France in sixth with $2.4 trillion. India is in seventh place with $2 trillion, and Italy in eighth with an economy of over $1.8 trillion. Ninth place goes to Brazil, with an almost $1.8 trillion economy. And in 10th is Canada, with an economy of over $1.5 trillion. The economy of the United States is larger than the combined economies of numbers three to 10 on the list.
Garuda Indonesia To Fly Directly to London
PT Garuda Indonesia Tbk (IDX: GIAA) is launching a new direct route between London Heathrow and Jakarta’s Soekarno-Hatta International Airport, Indonesia from Oct. 31. The service will run three times a week and will make Garuda Indonesia the only airline offering direct flights there and back. Currently, the outbound route from Heathrow is direct but the return leg involves a stopover in Singapore.
What to Expect from Central Bank of England September Policy Meeting
The Bank of England is expected to hold its interest rate steady and make no changes to its asset purchasing program when it gathers Thursday for its September Monetary Policy Committee meeting.The central bank is set to keep interest rates at a record low of 0.25 percent and maintain its quantitative easing (QE) program at a rate of £435 billion ($573 billion), despite inflation remaining at stubbornly high levels.
The fall in sterling following the U.K.’s vote to leave the European Union has pushed up the cost of imports, making goods more expensive for British consumers. This has resulted in higher inflation, which currently stands at 2.6 percent, well above the Bank of England’s target of 2 percent.