Home TIS Intelligence Weekly Briefing: Various Economic Data Become Investors’s Attention This Week

Weekly Briefing: Various Economic Data Become Investors’s Attention This Week

JAKARTA (TheInsiderStories) – Good Morning! This week various economic data around the globe to be notice by investors and will affect the financial markets. On Thursday, Statistic Indonesia will announce export import data, debt exposure and residential property price survey

From the global, industrial production in the United States (US), China and Eurozone will be eyed for the impact of escalating trade wars, and are likely to make for gloomy reading.

US consumers also expected to continue to provide better news, with retail sales widely expected to show spending propping up the economy and offsetting some of the factory gloom. More insight into US trends will also be gleaned from regional manufacturing and consumer confidence surveys for August.

In the eurozone, second quarter GDP data are updated after the flash release signaled a slowing of quarterly growth to 0.2 percent. A key release will be Germany’ GDP, which PMI data suggest could register a 0.1 percent decline. With PMI data also disappointing in July, Germany is at risk of sliding into recession.

Surveys suggest United Kingdom (UK) retail sales could disappoint as Brexit clouds gather, but it will be the labour market that takes centre stage. Official jobs data have been buoyant, but recent recruitment surveys have signalled slower hiring and wage growth trends

Last week, UK’ Prime Minister Boris Johnson has accepted an offer to meet Irish leader Leo Varadkar to discuss Brexit and the Northern Irish backstop. He has told the European Union there is no point in new talks on a withdrawal agreement unless negotiators are willing to drop the Northern Irish backstop agreed by his predecessor Theresa May.

In Asia, a mass release of official data in China will likewise provide insights into manufacturing, retail and lending trends, and will be scoured for signs that the authorities’ attempts to stimulate domestic demand are helping to offset the adverse impact of trade frictions.

On Friday, the National Bureau of Statistics reported China’ consumer price index (CPI) rose 2.8 percent in July from a year ago (YoY), up from 2.7 percent in June, marking the highest level since February 2018. The month-on-month CPO inflated 0.4 percent, compared to 0.1 percent deflation in the previous month.

On Sunday, US’ President Donald Trump again shouted China wants to make a deal so badly through his Twitter account. He tweeted, “Thousands of companies are leaving because of the Tariffs, they must stem the flow. At the same time China may be hoping for a Democrat to win so they could continue the great ripoff of America, & the theft of hundreds of Billions of $’s!”

He also tweeted, North Korean leader Kim Jong Un has sent him a letter. He stated, “Very nicely, that he would like to meet and start negotiations as soon as the joint US and South Korea joint exercise are over. It was a long letter, much of it complaining about the ridiculous and expensive exercises. It was…..”

Today, Indonesia Stock Exchange will release two new indices, IDX Value30 and IDX Growth30 to complement a number of benchmark indices in the capital market that already existed. The two indexes to be released were selected from the most liquid stocks and referred to shares in the IDX80 index. The two indexes assessments will focus on the lowest price to book value and price earning ratio but have good fundamentals.

End of last week, Indonesian Rupiah closed up 0.13 percent to 14,194 against the US dollar. Today, some analysts see there is an opportunity going stronger and move in the range of 14,090 – 14,270 over the Greenback.

The Jakarta Composite Index also strengthened 0.12 percent to 6,282.13. On Monday, the composite index will move in the range 6,224 to 6,353.

Stocks to be watch are PT Astra International Tbk (IDX: ASII), PT Alam Sutera Realty (IDX: ASRI), PT Sri Rejeki Isman (IDX: SRIL), PT Telkom Indonesia Tbk (IDX: TLKM), and PT HM Sampoerna Tbk (IDX: HMSP).

Then, PT Bank Negara Indonesia Tbk (IDX: BBNI), PT Bank Central Asia Tbk (IDX: BBCA), PT XL Axiata Tbk (IDX: EXCL), PT Mayora Indah Tbk (IDX: MYOR), and PT Nippon Indosari Corporindo (IDX: ROTI).

May you have a profitable week!

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

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