World leaders attending the Libya peace summit in Berlin on Sunday - Photo by Reuters.

JAKARTA (TheInsiderStories) – Good Morning! This week Indonesia, Japan, and Malaysia will meet to decide on monetary policy. No policy changes are expected in Japan and Indonesia but there are some expectations of an ‘insurance’ rate cut in Malaysia amid rising external headwinds.

Last year, Bank Indonesia has cut its benchmark rate four times, with a total cut of 0.75 percent. The last cut in September was 0.25 percent to 5 percent, the lowest since June 2018.

Today, Presiden Joko Widodo was scheduled to inspect the development of a multipurpose terminal and new tourism spot in Labuan Bajo, East Nusa Tenggara. He also has an agenda to inaugurate a hotel owned by state-owned enterprises.

Meanwhile, thousands of workers will hold rallies to reject the omnibus law on labor law and health insurance contributions that will be carried out today. They considered that the new law to be enacted had a lot of disadvantages to their interests and more favored employers.

In Europe, Davos will host the 50th World Economic Forum commences with the International Monetrat Fund’ latest forecast on Monday and rounds off on Friday with the flash PMI surveys, which will provide the first insights into global economic trends at the start of the year.

Chairman of Investment Coordinating Board, Bahlil Lahadalia will attending the event. At the sidelines of the meeting, he was scheduled to met Jumeirah Hotel, Amazon, Grab, Traveloka, Japan Bank For International Cooperation, Mizuho, Yili Group, dan Siemens Group.

Based on the agency data, only two European countries in the top 10 investors in Indonesia, Netherland and Britain. In the third quarter of 2019, investment value of European countries recorded US$2.77 billion in 15,770 projects.

In addition, the release of flash January PMI will provide important steers on growth of major economies, including Japan and Australia, at the start of the year after December surveys showed a brightening economic.

In Asia, investors will also assess regional trade conditions from official trade data out of Thailand and Taiwan, plus Singapore’s industrial output. Taiwan’s export orders and Thailand’s export data will provide new clues of the regional trade environment at the end of 2019, following an easing of US-China trade tensions.

South Korea’s GDP growth is expected to have slowed to an annual rate of 0.9% in the fourth quarter, down notably from 2% in the third quarter, thanks to export declines. In contrast, the Philippines economic expansion is expected to have accelerated to an annual rate of 6.3 percen on the back of increased public spending, according to IHS Markit’ estimates.

World leaders attending the Libya peace summit in Berlin agreed on Sunday to uphold a United Nations arms embargo and end military backing for the North African country’s warring factions. The agreement, signed by 16 states and organizations, also set out plans for international efforts to monitor the implementation of the restrictions after failed efforts to implement the embargo for almost a decade but without much success in the conflict-blighted country.

The participants also agreed to establish an International Follow-Up Committee (IFC) with the participation of all countries and international organizations that attended the conference “in order to maintain coordination in the aftermath of the Berlin Conference on Libya, under the aegis of the United Nations.” The declaration also welcomed nominations from warring sides for the military “5+5 Committee” proposed by the conference to continue cease-fire talks.

Last weekend, Indonesian Rupiah down 0.02 percent to 13,645 against the US Dollar. While the Jakarta Composite Index jumped 0,27 percent to 6,291.65 compared to the prior day. Today the local currency moves in the range 13,620 – 13,700 over the Greenback and the stock index between 6,202 – 6,378.

The analysts recommended PT Kalbe Farma Tbk, (IDX: KBLF), PT Bank Negara Indonesia Tbk ( IDX: BBNI), PT Astra International Tbk (IDX: ASII), PT Jasa Marga Tbk (IDX: JSMR), PT Bank Central Asia Tbk (IDX: BBCA), PT Wijaya Karya Tbk (IDX: WIKA), PT Adhi Karya Tbk (IDX: ADHI), PT Telkom Indonesia Tbk (IDX: TLKM), and PT HM Sampoerna Tbk (IDX: HMSP).

May you have a profitable Week!

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