JAKARTA (TheInsiderStories) – Good Morning! United States (US) President Donald Trump is due to deliver a speech at the World Economic Forum in Davos, Switzerland, on Tuesday. Starting today, global leaders will gathered at the forum with major agenda on sustainable development and youth issues.
During the event, International Monetary Fund trimmed its global growth forecasts, even as it said that a US – China trade deal could see activity bottom out. The Fund now sees growth at 3.3 percent in this year, down from initial target 3.4 percent and also cut the 2021 forecast to 3.4 percent from 3.6 percent.
While, Trump and French President Emmanuel Macron seemed to have struck a truce over a proposed digital tax. Its reported, the two agreed to hold off on a potential tariffs war until the end of the year.
US’ Cotton Council International announced that Indonesian textile mills are set to purchase an additional 194,000 cotton bales with worth more than US$65 million. Indonesia is the fifth largest cotton fibre-importing country and were expected to import a total of 3.1 million bales in 2018 – 2019.
From Asia, Bank of Japan (BoJ) will announced it monetary policy stands in this month. The Bank is set to keep monetary policy steady and signal its cautious optimism over the global outlook. So far, the central bank’ negative rate policy has had little positive impact on the economy.
At the two-day review that ends today, the BoJ is set to keep its short-term interest rate target at -0.1 percent and a pledge to guide 10-year government bond yields around 0 percent.
In the country, Indonesia prepares Labuan Bajo in East Nusa Tenggara for the G20 and ASEAN Leaders Meeting, said President Joko Widodo during his visit to the province. For that needs, the government prepared five zones namely Bukit Pramuka, Kampung Air, container ports and passenger docks, Marina Area, and in the Ujung Kampung to develop. The country also plans to build the infrastructure like runway and airport terminal.
On Tuesday, coordinating minister for political, legal, and security affairs, Mahfud MD, will hold a meeting on foreign terrorists and meet with the CEO of PT Telekomunikasi Indonesia Tbk (IDX: TLKM). at 16.00 WIB. From the capital market, the state-owned gas producer, PT Perusahaan Gas Negara Tbk (IDX: PGAS) will held extraordinary shareholders meeting at noon.
In addition, the ministry of finance is targeting to raises fresh funds Rp15 trillion ($1.07 billion) from the government bond auctions. The country offered the notes with various tenures April 2020, January 2021, June 2025, September 2030, June 2035, April 2040, and May 2048.
On Monday, Indonesian Rupiah closed up 0.04 percent to 13,639 A US Dollar and the Jakarta Composite Index weakened 0.74 percent to 6,245.04 compared to previous day. Today, the analysts see the two major instrument still move sideways. The local currency is expecting move in the range and the stock index test the support level at 6,225.
They recommended PT HM Sampoerna Tbk (IDX: HMSP), PT Bank Central Asia Tbk (IDX: BBCA), PT Industri Jamu dan Farmasi Sido Muncol (IDX: SIDO), PT Ultrajaya Milk Industry Tbk (IDX: ULTJ), PT Erajaya Swasembada Tbk (IDX: ERAA), PT Wijaya Karya Tbk (IDX: WIKA), PGAS, TLKM, PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Bank CIMB Niaga Tbk (IDX: BNGA), and PT Sri Rejeki Isman Tbk (IDX: SRIL) to be watch for today.
May you have a profitable day!
Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia