Bank Indonesia reported March' consumer optimism stood at 113.8, lowers than previous month of 117.7 - Photo by Mpeace Plaza

JAKARTA (TheInsiderStories) – Good Morning! Bank Indonesia reported March’ consumer optimism stood at 113.8, lowers than previous month of 117.7. The consumer confidence index is stifled due to the decline in consumer perceptions of current economic conditions and expectations of future economic conditions.

The decline in consumer perceptions of current economic conditions is mainly influenced by the availability of more limited jobs. While consumer expectations of future economic conditions are being held back by consumers ‘perceptions of the condition of business activities in the next six months that are not as strong as consumers’ perceptions in the previous month.

The survey results indicate consumption expenditure for the next three months (June 2020) is predicted to be maintained. This is reflected in the forecast index for household consumption until June amounting to 165.5, relatively stable compared to the achievements in the previous month. The continued sustained consumption spending was mainly driven by demand which is predicted to increase during the fasting month of Ramadan and the celebration of Eid Fitr.

From United States (US) President Donald Trump considered to release a second round of direct payments to Americans. Another round could come by May and be around $1.5 trillion.

From Britain, Prime Minister Boris Johnson was moved to the intensive care unit late Monday and foreign secretary, Dominic Raab has been asked by him to deputize “when necessary”. The Pound moved into the red against the US Dollar on the report.

In Asia, Japan’ Prime Minister, Shinzo Abe stated that Tokyo is currently in a state emergency to suppress the sharp increase in the pandemic, the Japanese Government will urge its citizens to stay alone at home.

More than 3,500 people have tested positive for COVID-19, and 85 have died in Japan, with the majority of people infected on average under the age of 50. At present officials in Japan worry that if the infection of Covid-19 infection can cause tensions between residents and state hospitals.

In the commodity market, oil prices are laser-focused on the possibility of a global cut in crude production. The oil cartel and its allies is set for a virtual meeting on Thursday that many expect to end with an agreement

The market has been expecting some kind of deal after Trump said that Saudi Arabia and Russia had agreed to cut as much as 15 million barrels per day in output. While, the American Petroleum Institute will issue its measure of weekly US’ oil stockpiles today. Last week the snapshot showed a huge build of more than 10 million barrels.

On Monday, Wall Street started the week off on a strong note, with a huge jump in the major indexes. Some analysts rated, any more details from either the administration or legislation on the ‘phase 4″ stimulus package by Capitol Hill could keep the optimism on the stock market going.

In Indonesia, The Rupiah closed up 17 points to 16,412 per US Dollar and the Jakarta Composite Index (JCI) strengthen 4.07 percent at 4,811.83. This is the third time the stock index has turned green in three consecutive trading days.

The strengthening Rupiah is in line with the Asian currencies against the American dollar. The Baht led the appreciation of the exchange rate by strengthening 0.60 percent, followed by Indian Rupees (0.31 percent) and the Singapore Dollar (0.27 percent)

The observers assessed that the strengthening of the local currency and JCI was inseparable from the Asian regional exchanges which were also moving positively. Today, both instrument has a chance to continue the rally amid the distribution of dividends of several issuers and the release of economic data in the first quarter of 2020. The Rupiah its expecting move in the range 16,400 – 16,500 and the index is estimated between 4,700 – 4,950.

Shares that can be considered today includes PT PP Tbk (IDX: PTPP), PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Jasa Marga Tbk (IDX: JSMR), PT Unilever Indonesia Tbk (IDX: UNVR), PT Sariguna Primatirta Tbk (IDX: CLEO), PT Indofood CBP Sukses Makmur Tbk (IDX: ICBP), PT Charoen Pokphand Indonesia Tbk (IDX: CPIN), PT Kimia Farma Tbk (IDX: KAEF) and PT Indofarma Tbk (IDX: INAF).

May you have a profitable day!

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