- PWON: Marketing Sales Growth of +17.0% yoy in 1Q21
JCI to rebound slightly as investors wait for US inflation data
US exchanges closed in the red overnight; Dow Jones went down -0.16%, followed by S&P 500 (-0.02%) and Nasdaq (-0.36%). Market participants are apparently choosing to wait for the release of economic data and 1Q21 financial report of several companies, including Goldman Sachs and JP Morgan.
Meanwhile, several major Asian exchanges closed mixed yesterday: Nikkei (-0.8%), Hang Seng (-1%), and Shanghai (-1.1%) all weakened, while Kospi (+0.1%) went up. JCI declined -2% to 5,948.6, while LQ45 index fell even deeper (-2.6%). Foreign net sell on the regular market was recorded at IDR 520.9 billion. EIDO index also declined (-2.54%). Rupiah exchange rate against US dollar also went down to IDR 14,595/USD. Indonesia’s retail sales data for Feb-21 shows a -18.1 yoy decline compared to the same period last year (Jan-21: -16.4% yoy).
Some sentiments that might be worth watching include: Movement of several commodity prices: Brent moved up +0.5%, followed by coal (ICE) (+0.8%), while nickel (-2.85%) and CPO (-2.3%) weakened. US Treasury yield 10Y slightly increased to 1.69% (vs 1.67% on Friday (4/9)). There has been a spike in COVID-19 cases in India, and now India has the second highest number of recorded COVID-19 cases, replacing Brazil. Tonight, the US inflation data for March is scheduled to be released (consensus: +2.5% yoy and +0.5% mom, previous: +1.7% yoy and +0.4% mom).Regarding US core inflation, consensus expects it to reach +1.5% yoy and +0.2% mom (previous: 1.3% yoy and 0.2% mom)
As many as 4,829 new COVID-19 cases were announced on Monday (+ 17% daily) with 5,289 patients recovered (90.3% recovery rate). So far, Indonesia has recorded 1.57 million COVID-19 cases. Updates on vaccination: 10.26 million people in Indonesia have received their first dose of COVID-19 vaccine (+216,216 daily) or the equivalent of 5.7% of the target. Meanwhile, 5.3 million people have received their second dose (+210,749 daily).
This morning, Asian Index opened higher with Nikkei index opened positive (+0.59%), as well as Kospi Index (+0.5%). After the sharp decline yesterday, we expect JCI is to rebound, but the ‘wait and see’ attitude of investors who choose to wait for US inflation is expected to affect the JCI movement today.