The latest foreign exchange (forex) reserves position will announces by Bank Indonesia - Photo: Special

JAKARTA (TheInsiderStories) – Good Morning! The latest foreign exchange (forex) reserves position will announces by Bank Indonesia (BI) today. Last December the reserves stood at US$192.2 billion, up from $126.6 billion in the previous month.

Some important agenda for today are the coordinating minister for maritime and investment will lead the infrastructure strategic program meeting followed by an economic ministers meeting. He is also scheduled to lead a coordination meeting on the Citarum project and climate change issues.

Then, three entrepreneurs association, APINDO, KADIN and HIPMI, held a business gathering with the theme “Economic Outlook and Fiscal Policy 2020” attended by finance minister Sri Mulyani Indrawati. And, President Joko Widodo has scheduled visits Banjarbaru city in South Kalimantan.

On Thursday, coordinating minister for economic affairs, Airlangga Hartarto, said the coronavirus epidemic in China may knock 0.1 to 0.3 percentage point off Indonesia’ economic growth by hurting tourism and the pharmaceutical sector.

The assumption caused China is the biggest trading partner and a major source of direct investment for the nation. The government is targeting 5.3 percent economic growth this year, up from 5.02 percent in 2019.

From Japan, economic minister, Yasutoshi Nishimura, said Prime Minister Shinzo Abe has ordered his government to take “all necessary steps” to mitigate the impact of the coronavirus outbreak on the economy. The epidemic could hurt consumption and give an impact on inbound tourism to the country, he said.

In United States, the White House announced has conducted a counterterrorism operation in Yemen that successfully eliminated Qasim al-Rimi, a founder and the leader of al-Qa’ida in the Arabian Peninsula and a deputy to al-Qa’ida leader Ayman al-Zawahiri.  Rimi joined al-Qa’ida in the 1990s, working in Afghanistan for Osama bin Laden.

While, the labor department will report the January jobs situation. Nonfarm payrolls for the month are expected to have risen by 160,000, compared with 145,000 in December, and the jobless rate is seen remaining at 3.5 percent.

In Europe, Russia backed a Saudi Arabia-led effort to deepen the Organization of the Petroleum Exporting Countries’ (OPEC) oil production cuts in  response to the deadly coronavirus in China. The OPEC+ committee has recommended a cut of production of its members and other allies of 600,000 barrels a day to offset the impact of the virus outbreak.

British’ trade minister Liz Truss, stated her country is seeking far-reaching reductions in tariffs from a trade deal with the US, setting out the broad aims of a post-Brexit push to secure new free-trade agreements. Britain plans to begin negotiating deals with America, Japan, Australia and New Zealand in the coming months.

In addition, European Central Bank‘ President, Christine Lagarde, said a decade of crisis fighting has left policy makers with few options for more monetary stimulus. Meanwhile, an unexpected drop in German factory orders suggests Europe’ largest economy hasn’t yet seen the worst of its slowdown.

In its quarterly economic outlook, the Reserve Bank of Australia sees the economic growth would only reach 1.9 percent in the year to June, down from a previous prediction of 2.6 percent amid the bushfires and coronavirus issues. As a result it forecast growth would accelerate to 2.7 percent by the end of this year and to 3.0 percent in 2021.

On Thursday, Indonesian Rupiah closed 0.40 percent higher compared to prior day to 13,635 and the middle rate of BI also gained 0.40 percent to 13,662 a US Dollar. While, the Jakarta Composite Index (JCI) edged up 0.14 percent to 5,987.14.

One of the sentiments regarding the strengthening of the exchange rate and the stock index in the last few days is the development of the discovery of the coronavirus vaccine and domestic issues. The analysts expect that sentiment still has the potential to color today’ trading. Positive catalysts are expected to come from the announcement of forex reserves and US unemployment claims

Based on the current situation, they project that the Rupiah will move in the range of 13,550 – 13,670 over the Greenback and the JCI re-test the level of 6,000 with a range 5,940 – 6,610.

Some analysts recommended PT Astra International Tbk (IDX: ASII), PT Bank Central Asia Tbk (IDX: BBCA), PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Erajaya Swasembada Tbk (IDX: ERAA), PT PP Tbk (IDX) : PTPP), PT Waskita Karya Tbk (IDX: WSKT), PT Bank Mandiri Tbk (IDX: BMRI), NFCX, BRPT, BTPS, SSIA, BWPT, CPIN, PTBA, ISAT, and MCAS, UNVR, PNBN, PNLF, Charoen Phokpand Tbk stocks 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