JAKARTA (TheInsiderStories) – Indonesian General Election Commission officially appointed Joko Widodo and Ma’ruf Amin as an elected President and Vice President, based on the results of the plenary meeting on Sunday (06/30). The determination was held three days after the verdict of the opposition’ lawsuit by Constitutional Court on Thursday.
In his victory speech, Widodo invited Prabowo Subianto – Sandiaga Salahuddin Uno to support his administration and immediately consolidate politics after protracted tensions since 2014. While Subianto, in response to his defeat at the lawsuit, decided to dissolve the coalition of his bearer party and the Subianto – Uno National Winning Body, on Friday (06/28).
Then Statistic Indonesia will announce the inflation data today. Last month the inflation rate recorded at 0.68 percent, the highest point of the year. Fasting month of Ramadan and surging price of airline ticket contributed the incline.
In a meeting with Salman, Widodo urged the two countries establish a High-Level Consultative Council proposed by Saudi Arabia at the Islamic Cooperation Organization meeting in Jeddah, May 29, 2019.
Then participate in the economic revolution to achieve Saudi 2030′ vision through the involvement of PT Wijaya Karya Tbk (IDX: WIKA) and PT Waskita Karya Tbk in the housing sector or for the construction of NEOM projects. Also, being involved in the Saudi Arabia railway sector project.
While in the meeting with Modi who was just elected, Widodo invited the two countries to continue to encourage the achievement of the trade target of US$50 billion in 2025 by removing barriers, both tariffs and non-tariffs. He also sees the need to expand business interactions in maritime cooperation between Aceh, Andaman, and Nicobar entrepreneurs.
Still from internationally, United States (US) President Donald Trump became the first US president to set foot in North Korea when he met Kim Jong Un in the Demilitarized Zone (DMZ) between the two Koreas on Sunday. In the nearly one-hour meeting, the two leaders expressed hope of peace when they met for the third time in just one year on the old border of the Cold War, which in decades has become a symbol of hostility between their countries, which are still technically at war.
Trump said, both parties will form a team to push for stalled negotiations since last February. The aura of peace between the US and North Korea has the potential to be a factor that will lift the performance of the Indonesian financial market this week.
In addition, Russian President Vladimir Putin also succeeded in convincing Prince Salman to extend the oil production restriction program by Organization of Petroleum Exporting Countries which will meet at the end of this month. He said that the extension of the oil production restriction program could be valid for six or nine months.
This limitation is made to maintain stability and potentially even toss up oil prices. Because when oil prices shot up, the current account deficit (CAD) would be difficult to reduce.
This week, worldwide manufacturing PMI surveys will be closely watched for the impact of escalating trade wars, followed on Wednesday by service PMIs. The June’ PMI data will provide important steers for monetary policy in the world’ most important central banks.
In the US, the Federal Open Market Committee is under increasing pressure from financial markets to cut interest rates, and any further disappointing data in the form of PMI surveys and the monthly employment report will add to speculation that rates could be cut as soon as July.
While, in Europe, PMI surveys and official industrial production numbers for the Eurozone will likewise be eyed for additional evidence to support the ECB’ recent shift to an increasingly dovish stance.
In Asia, PMI data will give clues as to the impact of trade wars, notably on China but also on the region’s other manufacturing hubs. Evidence of supply chains switching as a result of US-China tensions will also be monitored, amid evidence that countries such as Vietnam are benefitting.
The Reserve Bank of Australia is widely expected to further reduce the cash rate to 1.00 percent at next week’ meeting as the central bank looks to provide greater monetary support to boost employment.
Meanwhile, from the country, after the stipulation of Widodo – Amin, Indonesian Rupiah closed up to 14,124 against the US Dollar from prior day at 14,187. And, the Jakarta Composite Index was up 0.68 percent from 6,315.436 to 6,358.629.
May you have a profitable week!
Written by Linda Silaen and TIS Intelligence Team, Please Read Our Insight to Get More information about Indonesia