Global Market Highlight
DJIA rose by +2.21% on Wednesday (27/05) followed by the increase of S&P500 (+1.48%) and Nasdaq (+0.77%). The increase was still caused by the europhoria of the new normal life in some countries and the vaccine development. Turns out there are 114 vaccine developer that are still in the preclinical stage other than Moderna and Novavax, AstraZenecca also hit the spotlight lately while cooperating with Oxford university.The market will look forward to several data releases today, such as:1) US Durable Goods Order per Apr-2020; 2) US GDP Growth Rate Estimation per 2Q20; 3) German Inflation Rate per Apr-2020.
Domestic Updates
The government will issue a debt of IDR990.1 trillion to cover the 2020 State Budget (APBN) deficit which is predicted to reach IDR1,028.5 trillion or equivalent to 6.27% of gross domestic product (GDP). Up to 20 May 2020 the realization of SBN reached IDR420.8 trillion. The remaining SBN nurseries worth IDR990.1 trillion will be fulfilled through auctions on the domestic market, private placement and special scheme SBN with Bank Indonesia (BI). Meanwhile, the issuance of retail SBN amounting to IDR40 trillion-IDR50 trillion and the issuance of foreign currency SBN around USD4 billion to USD7 billion.
Company News
IHSG Updates
JCI increased by +0.32% to 4,626.80 on Wednesday (27/05) although followed by a net foreign sell reaching IDR274.26 billion. The flat movement was still affected by the lockdown easing in several countries as well as in Indonesia. Although the Covid-19 case in Indonesia has not subsided, as of yesterday, 686 cases increased making the total cases reached 23,851 nationwide with 25%/6% recoveries and mortality rate. Meanwhile, the Rupiah exchange rate against the USD was appreciated at IDR14,710. We estimate JCI will move in the range of 4,600-4,650 while waiting for the Money Supply data of Apr-2020. Today's recommendation: ITMG, EXCL, PWON, BBRI.
Corporate Action
Cum Dividend Date: PGAS
Ex Dividend Date: AMRT, SSIA
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