in a video release by his office, Indonesian President Joko Widodo warned to reshuffle his ministers or even disband government agencies if not fit with the "crisis term" during the COVID-19 outbreak - Photo by President Office

JAKARTA (TheInsiderStories) – Good Morning! in a video release by his office, Indonesian President Joko Widodo warned to reshuffle his ministers or even disband government agencies if not fit with the “crisis term” during the COVID-19 outbreak. His complained appeared caused the slow of government spending in the face of a dire global economic outlook.

Widodo’ government has pledged to spend nearly US$50 billion on public health, social protection and relief measures to counter the epidemic and boost the economic. But during last week, the task force for the pandemic responses reported the daily rise in infections over than 1,000 new cases and recorded 2,754 deaths, the highest in East Asia outside China.

This week, Statistic Indonesia to releases the latest inflation data. Last month, the bureau reported the Southeast largest economy posted a monthly inflation 0.07 percent and in annual basis 2.19 percent.

Globally, market players will be looking for further confirmation that the global economy has started to recover from the initial impact of the COVID-19 pandemic, though will also be closely watching for signs of second waves of infections. Key data releases include the global PMI surveys plus the United States (US) monthly jobs report.

US data releases include the monthly employment report and non-farm payroll data. Some 2.5 million jobs were added in May with a further 3 million gain anticipated in June according to the market consensus.

Other US releases include trade, factory orders and housing data, plus the latest Federal Open Market Committee minutes. In addition, Federal Reserves chair, Jerome Powell will also give testimony before the Committee of Financial Services.

Hopes of V-shaped recoveries from COVID-19 lockdowns have been buoyed by improving data, including the flash PMIs for June. Final PMIs for both manufacturing and services are released around the world on Wednesday and Friday respectively.

For Europe, the PMI data are supplemented by sentiment surveys from the European Commission, as well as inflation data for the eurozone. In Asia, China’ PMIs will be especially closely watched given its earlier relaxation of virus-related restrictions.

So far the data have shown encouraging strength, with business activity across manufacturing and services growing in May at the fastest rate since the start of 2011. The data for China may therefore help gauge the extent to which early rebounds in activity from lockdowns might fade.

The Asian PMIs are accompanied by official industrial production numbers for Japan and South Korea, with trade data issued in Taiwan, Malaysia and South Korea, all of which will help gauge the depth of second quarter downturns.

Last Friday, Indonesian Rupiah closed down to 14,160 a US Dollar and the Jakarta Composite Index (JCI) closed up 0.15 percent to 4,904. Analysts assess that global sentiment still strongly influences the financial market, one of which is the US Governor who has reversed plans to reopen the lockdown after a large increase in the case of the spread of the corona virus outbreak.

Today, the analysts rated, both instruments have the opportunity to move varied tend to weaken. The Rupiah will be traded between 14,150 – 14,200 over the Greenback and JCI in the range 4,850 – 4,968. Shares that can be considered today are PT Aneka Tambang Tbk (IDX: ANTM), PT Bank Danamon Indonesia Tbk (IDX: BDMN), PT Harum Energy Tbk (IDX: HRUM), and PT Mitra Adiperkasa Tbk (IDX: MAPI).

Then, PT Bukit Asam Tbk (IDX: PTBA), PT Sarana Menara Nusantara Tbk (IDX: TOWR), PT Unilever Indonesia Tbk IDX: UNVR), PT Surya Citra Media Tbk (IDX: SCMA), PT Telkom Indonesia Tbk (IDX: TLKM), PT PP Tbk (IDX: PTPP), PT Jasa Marga Tbk (IDX: JSMR), PT Indofood CBP Sukses Makmur Tbk (IDX: ICBP), also PT Perusahaan Gas Negara Tbk (IDX: PGAS).

-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