JAKARTA (TheInsiderStories) - Good Morning! In this afternoon the Federal Open Meeting Committee will announces the latest monetary policy in the United States (US). The central bank is not expected to alter its stance on rates as it works to steer the economy out of the pandemic morass.
The Federal Reserves chairman, Jerome Powell is expected to offer more insights on the progress of the recovery and the policymaker’ view on growth for this year. But, there wasn’t much movement on a stimulus deal, as the Senate held procedural votes ahead of its second impeachment trial of former President Donald Trump.
While, International Monetary Fund rated the new stimulus of President Joe Biden could boost US economic output by 5 percent over the next three years and the GDP growth by 1.25 percent in this year. The Fund projects the US economy will expand by 5.1 percent in 2021 after a 3.4 percent contraction in 2020 and to grow 2.5 percent in 2022.
In Indonesia, President Joko Widodo is scheduled to receive a second dose of the CoronaVac vaccine this morning after get first injection on Jan. 13. The vaccine produced by China’ Sinovac requires two injections of 0.5 milliliters each with an interval of 14 days.
After the vaccination, he will inaugurate Listyo Sigit Prabowo as the new chief of the Indonesian National Police at the State Palace to replace Idham Azis who is entering retirement. At the same time he will also inaugurate the supervisory board of Indonesia Investment Authority.
Minister of health, Budi Gunadi Sadikin, said so far 162,000 people had received the first of two doses of the vaccine. Talked about COVID-19 outbreak in the country, the task force reported total patient and death toll has surpassed one million after adding 13,094 and 336 people on Tuesday.
In Asia, thousands of protesting farmers poured into New Delhi, India. It was the most violent escalation in two months that have tested the government of Prime Minister Narendra Modi in unprecedented ways, forcing it to offer concessions to aggrieved farmers on new market-friendly laws that were intended overhaul the country’ agriculture sector.
Yesterday, Indonesian Rupiah weakened 0.30 percent to 14,065 per US Dollar and the Jakarta Composite Index (JCI) fell 1.89 percent to 6,140.17 compared to the previous day. Today the stock index is expected to move in the range of 6,220 - 6,350 and the local currency between 14,000 - 14,100.
This forecast is based on the assumption that market analysts reacted to Biden’s Buy American Program, which tends to give negative sentiment to Indonesian financial markets. The impact, could raise concerns about trade war tensions again with the partnering countries. Beside, they are still waiting for the US$1.9 trillion of aid stimulus the FOMC meetings.
Stocks to be watch for today are PT Astra International Tbk (IDX: ASII), PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Timah Tbk (IDX: TINS), PT Solusi Bangun Indonesi Tbk (IDX: SMCB), PT Semen Indonesia Tbk (IDX: SMGR), PT Smartfren Telecom Tbk (IDX: FREN), PT Aneka Tambang Tbk (IDX: ANTM), PT Bank Syariah Indonesia Tbk (IDX: BRIS), PT AKR Corporinto Tbk (IDX: AKRA), and PT Bank Mandiri Tbk (IDX: BMRI).
May you have a profitable Day!
Written by Linda Silaen, Please Read Our News to Get More information about Indonesia
