European Parliament warned would veto British Prime Minister Boris Johnson' Brexit proposals and saying they are "not even remotely acceptable" as a solution to the Irish border problem - Photo: Privacy

JAKARTA (TheInsiderStories) – Good Morning! In a joint statement, European Parliament warned would veto British Prime Minister Boris Johnson’ Brexit proposals and saying they are “not even remotely acceptable” as a solution to the Irish border problem.

The parliament’ also reminds the premier that it has “grave concerns about the Britain proposal, as tabled. Downing Street office has set the European Union (EU) a deadline of just two days to begin intensive talks on Johnson’ new Brexit proposals, risking a new rupture in relations with Brussels.

From Japan, Sumitomo Construction Machinery Co. said it will spend US$33 million to boost production capacity at its excavator factory in Indonesia to meet growing demand. The Sumitomo Heavy Industries Ltd. unit will raise annual excavator production capacity at the plant in Karawang, West Java, to 2,500 units from 1,000 currently, starting January 2021.

From Indonesia, President Joko Widodo and Vice President Jusuf Kalla led the final plenary cabinet meeting at the Presidential Palace on Thursday. The head of states claimed, in the five-year period of his leadership have laid the basic foundation of the development program national.

His reign, he said, has made reform of the fiscal and making the State Budget become more healthy and independent. In addition, the reform of social protection programs and poverty reduction efforts. Even so, he acknowledges, still a lot of homework must be taken care in the second period of his leadership with Ma’ruf Amin.

Today, Bank Indonesia will announce the Consumer Confidence Index (CCI) in September. The latest survey conducted by the central Bank showed the CCI declined to 123.1 in August from 124.8 in the previous month. This was the weakest reading since November last year, as the measure of job availability expectations decreased 3.4 points to 122.4 from125.8 in July.

While the measure of current income dropped 4.9 points to 118.4 from 123.3 in the previous month. The index of current economic conditions fell by 0.9 points to 110.3, from 111.2 months earlier. Also, the gauge measuring economic outlook fell by 2.4 points to 136.0 from138.4 in July.

While, negotiations between state-owned energy firm PT Pertamina and Saudi Aramco to upgrade Cilacap refinery in West Java, have been extended further until the end of this month. Arcandra Tahar, Indonesia’ deputy energy minister, said the extension was to give the two companies more time to agree on asset valuation.

In April, Pertamina warned that if talks with Aramco failed, it would launch the project without a partner to meet an operational target of 2025. Previously, both companies agreed to negotiate to form a joint venture for this project in 2016.

Yesterday, Indonesian Rupiah and the majority of currencies in Asia managed to strengthen along with the easing of the strengthening US Dollar market on disappointment the country’ economic data. The local currency up 0.18 percent to Rp14,172 over the Greenback.

On Thursday, the Jakarta Composite Index (JCI) closed down 0.28 percent to the level of 6,038.53 compared to previous day, marking a five-day losing streak. The composite index had even left the psychological level of 6,000. JCI’ performance is in line with the majority of major Asian stock exchanges in the red zone like Nikkei index fell 2.01 percent and the Straits Times index down 0.56 percent.

According to the analysts, the United States (US) – EU’ trade war was a factor that triggered a sell-off on the yellow continent stock exchange. The WTO gives President Donald Trump the right to impose additional import duties on imported products from the European Union worth US$7.5 billion.

European countries is the largest export market for the US. In 2018, the US exports goods worth $319 billion to EU, while US’ import goods from the Eurozone worth of $488 billion in 2018, making the zones the second largest supplier of goods to America.

For today, the Rupiah has the potential to be opened higher supported by the euphoria of optimism about the US-China trade meetings on Oct.r 11-12, although movements tend to be limited, said the analysts. They projects that the local currency has the potential to move in the range of 14,100 – 14,260 per US dollar.

While, JCI is estimating to move at the support level point 5,985 and the resistance level will be at 6,189. A number of shares that can be considered by investors said the observes are PT Adaro Energy Tbk (IDX: ADRO), PT Astra International Tbk (IDX: ASII), PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Jasa Marga Tbk (IDX: JSMR), PT Bumi Serpong Damai Tbk (IDX: BSDE), PT Barito Pacific Timber Tbk (IDX: BRPT), PT Adhi Karya Tbk (IDX: ADHI), PT Kalbe Farma Tbk (IDX: KBLF), and PT HM Sampoerna Tbk (IDX: HMSP).

May you have a profitable day!

Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia