Market Prediction
Yesterday, JCI was under pressure and dropped 0.87% following the weakening of Asian stock indices and concerns over lockdowns implemented in European countries.
As for today, Asian stock indices appear to be on a rebound in which JCI has the opportunity to follow this strengthening. Positive sentiment came from the decline in US bond yields.
JCI closed down again with a bearish candle. The stochastic indicator is dead cross, MACD histogram is negative (line flat) and volume is down. The index is still in a consolidation trend. If JCI breaks down to below level 6,290, it can continue to our next support flow at the range of 6,245 - 6,268. If it is able to strengthen, the resistance levels are at the range of 6,339 - 6,354.
Commodities Review
Gold prices slipped nearly 1% in trading earlier this week before finally closing only down 0.3% after the correction in United States dollar (US) and US Treasury yields eased due to strengthening in the stock market.
Macro Economic News
The People's Bank of China (PBoC) left its benchmark interest rates for corporate and household loans steady for the eleventh straight month at its March fixing, as the economy continues to recover from the downturn caused by the COVID-19 shocks.
Sales of previously owned houses in the US plunged 6.6% from the previous month to 6.22 million units in February of 2021, the least in 6 months and much worse than market forecasts of a 3 percent drop as supply dropped the most on record.
Corporate news
The status of PKPU (Postponement of Debt Payment Obligations) of PT Gunung Raja Paksi Tbk (GGRP) is officially revoked. By granting the PKPU revocation request by the panel of judges, the company can return to normal operations. PT GRP has succeeded in proving that it is in good health, and is able to pay off its debts.
PT Surya Esa Perkasa Tbk (ESSA) posted a decline in performance throughout 2020 which posted a net loss of US $ 19.12 million last year. In fact, in 2019 ESSA still posted a net profit of US $ 2.63 million.
The handling of CBU-type vehicle exports at International Terminal for PT Indonesia Vehicle Terminal TbK (IPCC). In February 2021, has increased again. Until February 2021, 49,888 units had been handled by CBU exports at the IPCC International Terminal. This figure increased slightly by 1.72% compared to the same period in 2020.
Moody's Investors Service has lowered the rating of PT Sri Rejeki Isman Tbk (SRIL) to B3 from B1. The rating downgrade reflects Sritex's persistently weak liquidity and increased refinancing risk due to continued and material delays with its loan extension exercise.
PT Kiwoom Sekuritas Indonesia (KSI)
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