Federal Open Meeting Committee - Photo by Federal Reserves

JAKARTA (TheInsiderStories) – Good Morning! Federal Reserves (Fed) watchers will be eager for further insights into the United States (US) central bank’ thinking after minutes to July meeting. The Federal Open Market Committee (FOMC) showed the policymakers were split on the monetary stance. 

In Asia the focus is on the state of manufacturing conditions in the face of intensified trade tensions. Industrial output figures are published for Japan, South Korea, Thailand and Singapore

China Purchasing Manufacture Index data (issued on Aug. 31) will also be under scrutiny, as will industrial profits data. While, GDP releases from India offered clues as to whether the economic slowdown has deepened.

The relationships between US and China heats up again after Beijing it strongly opposes Washington’ decision to levy additional tariffs on US$550 billion worth of Chinese goods and warned the President Donald Trump of consequences if it does not end its “wrong actions”.

The comments made by China’ ministry of commerce after Trump announced on Friday (08/23) that Washington will impose an additional 5 percent duty the Chinese goods, hours after Beijing announced its latest retaliatory tariffs on about $75 billion worth of US goods.

Last weekend, world leaders in Group Seven (G7) gathered in Biarritz, France. The three-day summit is taking place against the backdrop of an escalating trade war between the US and China, Britain’ Brexit, growing tensions between the America and Iran and global concern over fires ravaging the Amazon rainforest in Brazil.

At the summit, several bilateral meetings has been held like the meeting of rump with British’ Prime Minister Boris Johnson and Japan’ Prime Minister Sinzo Abe. While Johnson met with German’ Chancellor, French’ President Emmanuelle Macron and European Commission leader Donald Tusk on the

Tusk and Johnson have sparked over who would be to blame in the case of a “Mr. No-deal Brexit”. The premier itself has proposed to Tusk that Britain will only pay 9 billion pounds ($11 billion) instead of the 39 billion pound liability agreed by former Prime Minister Theresa May under a no-deal Brexit.

In July, China’ crude oil imports from Venezuela plunged 62 percent from the previous month, Chinese customs data showed on Sunday (08/25), as growing tension between Washington and the Nicolás Maduro government made buyers wary of taking oil from the South American exporter.

On Saturday, Malaysia’ Chief Minister Datuk Seri Mohd Shafie Apdal, said Sabah will conduct barter trading of non-subsidized cooking oil with Indonesia and Philippines starting next week. He said the event was part of the government’ effort to cut down and hopefully stop the smuggling of goods to neighboring countries.

With US’ sanctions on Venezuela having already driven away many of its oil buyers, the Trump administration in early August kept up the pressure by threatening sanctions on any company that works with Maduro’ government.

From domestic, Indonesia Stock Exchange again hold a three days public expose for the dozens of issuer starting today. On Monday, Ministry of Finance will update the 2019 State Budget update then Bank Indonesia will announce the development of money supply on Friday.

Last weekend, Indonesian Rupiah closed down 0.12 percent to 14,210 against the Greenback. While the Jakarta Composited Index strengthened 0.26 percent to 6,255.60 from a prior day.

Today, the two market indicators is predicted move into the resistance area. The composite index is estimating will move in the range 6,210-6,326.

Stocks to be watch, said the analysts are PT PP TBK (IDX: PTPP), PT Waskita Karya Tbk (IDX: WSKT), PT Telkom Indonesia Tbk (IDX: TLKM), PT Ban Mandiri Tbk (IDX: BMRI), PT HM Sampoerna Tbk (IDX: HMSP), PT Astra International Tbk (IDX: ASII), PT Indika Energy Tbk (IDX: INDY), and PT Aneka Tambang Tbk (IDX: ANTM).

May you have a profitable week!

US$1: Rp14,200

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