Leaders of Group 20 (G20) scheduled to have a virtual meeting tonight addressing the spread of COVID-19 in the world - Photo by the White House

JAKARTA (TheInsiderStories) – Good Morning! Leaders of Group 20 (G20) scheduled to have a virtual meeting tonight addressing the spread of COVID-19 in the world. While, President of United States (US) Donald Trump and the lawmakers reached an agreement on the US$2 trillion stimulus package.

The relief package aimed at shielding the US economy from the worst consequences of the pandemic and will provide direct financial checks to many Americans, drastically expand unemployment insurance, offer hundreds of billions in loans to both small and large businesses, and provide health care providers with additional resources as the virus spreads.

Until Wednesday, the death rate from the COVID-19 worldwide has surpassed 21,180, driven by the increase in fatalities in Italy and Spain. The number of fatalities in Italy jumped by 683 to 7,503 people and significant surges were also recorded by Spain totaling 656 inhabitants, followed by France with 231 inhabitants and the US with 151 inhabitants.

The number of fatalities in France reaching 3,647 has also surpassed those in China, where the coronavirus outbreak began. In China, the death toll has reached 3,281 since the outbreak first surfaced in Wuhan city at the end of December 2019. This virus has spread to 197 other countries in the world.

In Asia, Singapore‘ economy shrank 2.2 percent in the first quarter of this year compared to same period in 2019, preliminary data showed today. The drop was biggest contraction in over a decade as the virus pandemic prompted the city to plan for a recession. The authorities has downgraded their 2020 forecast for gross domestic product (GDP) to a range of -4 to -1 percent, from a previous range of -0.5 to 1.5 percent.

While, Bank of Thailand decided to maintain its benchmark interest rate at 0.75 percent after cutting it off at an emergency meeting last week on March 20. The deputy governor, Titanun Mallikamas said, although it chose not to re-cut interest rates, it was still ready to make cuts if needed. The central bank will focus on monitoring market movements, including the Baht.

The Dow notched its first back-to-back wins for the first time in more than two months and rose 2.39 percent, marking its second-straight session of gains for the first time since Feb. 5 – 6, he S&P 500 jumped 1.15  percent, but the Nasdaq fell 0.45 percent. Oil prices was also strengthened 2 percent as America has asked Saudi Arabia to end the oil price war.

US’ secretary of state, Mike Pompeo has speaking with Saudi Crown Prince Mohammed Bin Salman, addressing the effects of the coronavirus on the global economy and the oil markets. He called on Saudi Arabia to stabilize markets as he stressed “that as a leader of the G20 and an important energy leader”. Yesterday, West Texas Index up 2.22 percent to US$25.78 a barrel and the Brent Crude Oil up 0.88 to $28.72 per barrel.

On Tuesday, Indonesian Rupiah strengthened 0.45 percent to 16,575 and the middle rate of Bank Indonesia rose 0.73 percent to 16,486 against the US Dollar. But, the Jakarta Composite Index fell 1.30 percent to 3,937.63 compared to previous day.

Analysts said that the sudden announcement of the US Central Bank late Monday had given positive sentiment to some risk assets. They also rated there is a chance that the local currency movement could be much more stable in the coming days.

Plus the strengthening of the US dollar has also been overvalued. The Rupiah its expecting move in the range 16,300 – 16,400 and the JCI between 3,900 – 4,000.

Stock that can be considered today are PT Astra International Tbk (IDX: ASII), PT Kalbe Farma Tbk (IDX: KLBF), PT Sri Rejeki Isman Tbk (IDX: SRIL), PT HM Sampoerna Tbk (IDX: HMSP), PT XL Axiata Tbk (IDX: EXCL), PT Mayora Indah Tbk (IDX: MYOR), PT Bank Mandiri Tbk (IDX: BMRI), PT Tjiwi Kimia Tbk Paper Factory (IDX: TKIM), PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Telekomunikasi Indonesia Tbk (IDX: TLKM), and PT Bank Central Asia Tbk (IDX: BBCA).

May you have a profitable day!

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