The Search and Rescue Team at JICT Tanjung Priok, Jakarta - Photo by Basarnas

JAKARTA (TheInsiderStories) – Indonesia continues to be surrounded by sadness. After various natural disasters, the country again grieved over the death of the Lion Air JT-610 accident which had taken its toll.

The aircraft, with Jakarta – Pangkal Pinang route, took off at 6.20 a.m. from Soekarno Hatta Airport. Around 13 minutes after take off, pilot asked for returning to base. Flight navigation service Airnav Indonesia already accepted and prepared the return. But at 6.33 a.m., the plane lost contact. Then it fell around Karawang waters, West Java.

According to the National Disaster Mitigation Agency, the plane crashed 30-35 meters underwater. So far 24 bags has sent to the National Police hospitals and search and rescue operation is still ongoing.

Around 300 personnel, half National Search and Rescue Agency and others from police and military are conducting the operation. Thirty divers are searching underwater.

President Director of Lion Air Edward Sirait admitted that the plane had a technical problem before that flight. But engineers in Jakarta had solved the problem and stated its proper condition to fly. Sirait said, it’s too early to presume the accident cause.

Moreover, the JT 610 plane is new and using the latest generation of Boeign 737-Max the eight generation. The plane just delivered on August by Boeing.

Go to the financial market. The stock market still responded on United States third quarter economic growth for 3.5 percent, higher than expectation. Moreover, the weakening of Wall Street on last Friday (26/10), also beneficial to US Dollar strengthening.

Rupiah started this week by slightly depreciated and considered as a reasonable technical correction. US Dollar demand is quite size-able this month, due to foreign debt payment by government. But Bank Indonesia (BI) did effort to stabilize Rupiah by selling foreign exchange.

The domestic market also still responded on Indonesian trade balance, loan growth, BI 7 days-reverse repurchase rate, and Domestic Non Deliverable Forward plan starting from November.

While, Asian stocks market started the week with under pressures. Nikkei 225 and TOPIX closed below 1 percent. Whilst CSI 300 closed -3.05 percent and KOSPI -1.53 percent.

The impact, Jakarta Composite Index closed at 5,754.6, a decrease by 0.52 percent. Mining and property sectors contributed the dip, respectively at 1.8 percent and 1.33 percent. Energy mining and metal commodity price were the main factors of the impairment.

Indonesian coal miner, PT Adaro Energy Tbk (IDX: ADRO) was the main donor of the sector slump. ADRO stocks fell by 3.48 percent, after announcing its coal stagnant sales and production.

Foreign recorded net buy at Rp131.73 billion ($8.78 million) in Indonesia stocks market.

For today, the declining of PT Telekomunikasi Indonesia Tbk‘ (IDX: TLKM) net profit over than 20 percent to Rp14.23 trillion in nine months (9M) period on increasing operation and maintenance expenses we believed will give pressures to the market, as on of blue chip stock at the Indonesia Stock Exchange.

The company’s revenue rose by 2.27 percent to Rp 99.20 trillion from a year ago Rp 97 trillion. TLKM registered that operating and maintenance expenses increased by 23.3 percent to Rp33.43 trillion. And as a result, TLKM’s gross profit margin was only 29.68 percent from 36.69 percent in 9M of 2017.

May you have a profitable day.

US$1: Rp15,000

Written by Linda Silaen and TIS Intelligence Team, Please visit our new website to get more insight on Indonesia’s economy: