The Composite Stock Price Index (IHSG) this morning, Monday (7/1) opened immediately shot through the level of 6,300, precisely 6,320.12 or up 0.73% from the close of trading on Friday (4/1) which closed at the level of 6,274.5 . Until this news was made, the JCI even rose to the position of 6,354.76 or up 1.28%, even though at 10.00 the JCI fell back to the level of 6,320.25.
Not only the CSPI, all exchanges in Asia also started today by opening in the green zone. The Nikkei 225 index which so far shot up 2.82%, the Philippines PSEi rose 1.64%, the Straits Times Index rose 1.37%, Korea’s KOSPI rose 1.35%, Hang Seng Index lifted 1.1%, Shanghai Composite The index rose 0.67%, and Malaysia’s KLCI rose 0.66%.
Panin Sekuritas analyst William Hartanto estimates that the JCI this week will strengthen to the level of 6,360, while next week’s JCI support level is at 6,180, although he estimates the JCI will be at a high level. The sentiment that will affect the rate of JCI this week is coming from abroad.
The sentiment that influenced the rate of JCI by William was the US-China meeting on peace from a trade war. “It has actually been reported from December, only this month the application. So, this month the sentiments have just begun,” William said.
Wall Street’s performance at the close of trading on Friday (4/1) was closed with a significant increase which helped boost stock market performance in Asia. The Dow Jones Industrial Index closed Friday up 3.29%, while the S & P 500 rose 3.43%, and the Nasdaq Composite Index rocketed 4.26%.
One of the significant increases in the United States stock exchange (US) was driven by increased investor optimism after the Governor of the US Central Bank (the Fed) Jerome Powell stated that the Fed was ready to change its policy direction significantly by continuing to monitor economic developments. “We are always ready to change the direction of policy,” POwell was quoted as saying by Reuters.
On the other hand, US unemployment data showed very positive developments and was well above market expectations. During December 2018, the US economy added about 312,000 new jobs, which were the highest record for new job creation in the past three years, according to the Bureau of Labor Statistics (BLS).
Nevertheless, the unemployment rate in the US rose to 3.9%, but the rise in the unemployment rate was considered a positive signal of the economy. According to BLS data, around 419,000 new workforce entered the market which showed that the employment market conditions in the US are currently in very good condition. Even though US economic growth is considered to be experiencing a slowdown, even indicated a recession based on the latest economic data.
Until this news was written, in a performance, the sectoral index advanced positively where the increase in the rate of the sectoral index was led by the consumer sector, followed by the property and financial sectors which also rose. The consumer sector rose 1.64%, while the property and financial sector so far rose 1.27% and 1.26% respectively.
In addition, the volume of trade up to this news was recorded as much as 2.79 billion units of shares with a transaction value of Rp 2.05 trillion. There are 230 stocks in the green zone, but 83 stocks have been corrected so far, while 140 other stocks have stagnated. Foreign investors continue to enter Indonesia with net purchases while reaching Rp. 145.66 billion.
Reporter: Ihya Ulum Aldin