Update COVID-19 in Indonesia: 70,736 confirmed infections, 3,417 deaths (9 July 2020)
6 July 2020 (closed)
USD/IDR (14,501) +55.01 +0.38%
EUR/IDR (16,343) -41.31 -0.25%
Jakarta Composite Index (5,052.79) -23.38 -0.46%
Although the stock markets of the USA and England were closed on Monday (27/05), strong European and Asian indices indicated that market participants were back in business. This also applied to the main stock index of Indonesia (IHSG), which regained the points it had lost on Monday. A number of blue-chips were chased by investors: Astra International, Unilever Indonesia, Lippo Cikarang and Semen Indonesia. Foreigners were particularly interested in stocks of Bank Mandiri, Bank Pembangunan Daerah Jawa, and Waskita Karya.
The IHSG ended Tuesday (28/05) on 5,176.23 points, an 1.79 percent rise.
The IDR rupiah is still weakening in line with the yen which is falling against a number of currencies. Also speculation about a postponement of Indonesia's subsidized fuel price hike - fueling market uncertainties - made the rupiah fall. A postponement means that the budget balance will see a larger deficit, which can subsequently influence the country's trade balance. Moreover, the US dollar is strengthening as it is expected that the Federal Reserve's stimulus program will be stopped due to improving economic data in the US.| Source: Bank Indonesia
Asian stock indices were mostly up with the Nikkei rebounding as well as strong indices in China as the yen weakened after a high official of Japan stated that the government might increase the country's stimulus package. Japan's export stocks subsequently increased. Stock indices also rose because China's prime minister, Li Keqiang, said that the government, faced by major challenges, will ignite a reformation to spur economic growth.