JAKARTA (TheInsiderStories) – Good Morning! The key data in the week ahead are likely to be the flash Purchasing Manager Index (PMI) surveys for May, which are released for the United States (US), Eurozone, Britain, Japan and Australia. A rate cut may also be in the cards in Indonesia.
The central bank will hold a governor meeting starting Tuesday and will announces the result on the next day. On April 20, Bank Indonesia will also releases the balance of payments in the first quarter of 2020.
While, analysts scrutinize the latest Federal Reserves minutes after the policymakers reassured that it will “use its tools and act as appropriate to support the economy.” Various national trade reports are also eagerly awaited.
The PMI surveys will provide the first insights into whether these economies have bottomed out after many countries started to ease some of the restrictions designed to contain the COVID-19 outbreak. In Europe, the PMIs have shown especially deep downturns in both the UK and Eurozone, so May flash numbers will be particularly awaited for brighter news, as will consumer confidence data.
On the other hand, official labour market and retail sales data for the United Kingdom will be more backward looking, and therefore likely to darken the overall picture. In addition to the flash PMIs, Asia sees the release of Thailand’ GDP, which is expected to show the first decline for six years and is likely to be accompanied by policy loosening from the central bank.
Today, the Financial System Stability Forum has agenda to give a press briefing on the Economic Recovery Program during the COVID-19 pandemic. As known trillions Rupiah of government funds will distributes to state-owned enterprises and other institution to help the domestic economy.
Last weekend, Indonesia Rupiah ended at 14,835 against the US Dollar and the Jakarta Composite Index corrected 0.1 percent to 4,507 last compared to previous day. Today the local currency its expecting will move in the range 14,880 to 14,950 and the stock index between 4,441 – 4,660.
The stocks to be watch for today are PT Bank Central Asia Tbk (IDX: BBCA), PT Medco Energi Internasional Tbk (IDX: MEDC), PT Unilever Indonesia Tbk (IDX: UNVR), PT AKR Corporindo Tbk (IDX: AKRA), PT Kalbe Farma Tbk (IDX: KBLF), PT HM Sampoerna Tbk (IDX: HMSP), PT Bank Rakyat Indonesia Tbk (IDX: BBRI), PT Bank Mandiri Tbk (IDX: BMRI), PT Sarana Menara Tower Tbk (IDX: TOWR), and PT Telkom Indonesia Tbk (IDX: TLKM).
–IHS Markit contributed to this briefing
May you have a profitable Week!
Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia