Today Indonesia celebrates the 75 years of independence day and as usual, President Joko Widodo will give an annual speech and present the draft 2021 State Budget to parliament - Photo by the President Office

JAKARTA (TheInsiderStories) – Today Indonesia celebrates the 75 years of independence day. As usual, President Joko Widodo will give an annual speech and present the draft 2021 State Budget to parliament.

In the afternoon, the economic ministers will provide more details about the government’ plans in 2021. Previously, the government and the House of Representatives agreed on macroeconomic assumptions for next year in which economic growth 4.5 – 5.5 percent of gross domestic products (GDP) is targeted and the deficit 5.2 percent of GDP.

From United States (US), the government confirmed that it would still impose an import duty of 15 percent for Airbus aircraft and 25 percent for European Union (EU) products. Trade representative or US Trade Representative, Robert Lighthizer, emphasized that the block did not actually take the steps needed to fulfill the decisions of the World Trade Organization and  will take a new process as an effort to find long-term solutions to these problems.

In Asia, Israeli Prime Minister, Benjamin Netanyahu, confirmed that his country will realize the rapprochement with more Arab and Moslem countries after normalizing relations with the United Arab Emirates (UAE). Earlier, US’ President Donald Trump managed to reconcile Israel and the UAE after 72 years of hostility.

The terms of peace were approved after Israel promised to stop occupation of the west side of Palestine. According to him, normalizing relations will bring together America’ two most reliable and capable regional partners and these countries will join together with the US to launch a strategic agenda for the Middle East on diplomatic, trade and security cooperation.

On Thursday, Indonesian Rupiah dropped 0.10 percent to 14,775 against US Dollar and the Jakarta Composite Index (JCI) closed up 0.1 percent to 5.239 compared to previous day. Analysts said, both have the potential to strengthen today as global liquidity is plentiful.

There are also hope that the discovery of a vaccine can be a positive sentiment for the inflow of foreign funds. From a global perspective, they rated, the rising average wages have the potential to improve the US economy because it increases household spending, which is the backbone of the country.

The market is also still waiting for the US Senate’ decision regarding the economic stimulus proposed by the Donald Trump administration. The tension between Washington and Beijing still become the market’ attention.

The observers recommends PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT United Tractor Tbk (IDX: UNTR), PT Gudang Garam Tbk (IDX: GGRM), PT XL Axiata Tbk (IDX: EXCL), PT Perusahaan Gas Negara Tbk (IDX: PGAS), PT Telkom Indonesia Tbk (IDX: TLKM), PT Indofood Sukses Makmur Tbk (IDX: INDF), and PT Charoen Phokpand Indonesia Tbk (IDX: CPIN) stocks to be watch for today.

May you have a profitable day!

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