Market Prediction

In yesterday's trading, JCI has managed to close above the level of 6,000s. The release of manufacturing data and the dividend distribution season are reasons for market participants to buy stock assets.

However, JCI has increased for five consecutive days since last week.

JCI closed higher to the level of 6,031 with a bullish candle. The index gaped up after breakout the resistance trendline. The stochastic indicator is bullish, MACD histogram is moving positive (bullish line) and volume is down. If the nearest JCI is able to breakup to level 6,033, there is a chance to continue strengthening at the resistance levels of 6,052 - 6,062. On the other hand, if JCI fails to break or the movement tends to be bearish candle, JCI can first go down to support levels of 5,991 – 6,005. Be careful if the support flow breaks down, the index could continue to fall to the level of 5,947 (gap area).

Commodities Review

• Oil was up more than 1% on Wednesday (2/6). Sentiment came from the decision of OPEC and its allies to continue to gradually restore supplies and along with the slow pace of nuclear talks between Iran and the United States (US).
• Gold prices rose on Wednesday (2/6), below almost a five-month high reached in the previous session on falling US Treasury yields. Meanwhile investors await key economic data this week that will explain the inflation outlook.

Macro Economic News

• The annual inflation rate in South Korea increased to 2.6 percent in May of 2021 from 2.3 percent in the previous month and in line with market expectations.
• The IHS Markit Indonesia Manufacturing PMI rose to a fresh record high of 55.3 in May 2021 from 54.6 in April.
• Indonesia's annual inflation accelerated slightly to 1.68 percent in May of 2021, the highest since last December and compared to forecasts of 1.67 percent.

Corporate news

• PT Mustika Ratu Tbk (MRAT) posted net sales of Rp 318.40 billion throughout 2020. This figure grew 4.31% on an annual basis or yoy from the realization in the previous year of Rp 305.22 billion.
• PT Wilmar Cahaya Indonesia Tbk (CEKA) posted net sales of Rp. 1.10 trillion until the end of March 2021. This figure grew 20.71% from the realization of sales in the first quarter of 2020 of Rp. 915.78 billion.
• The performance of PT Atlas Resources Tbk (ARII) in 2020 experienced a net loss of US$ 13.94 million last year. The realization of this net loss increased by 300.4% from the current year's loss attributable to owners of the parent entity in 2019, which was only US$ 3.45 million.
• PT Royal Prima Tbk (PRIM) achieved revenue of Rp 260.59 billion, up 49.57% from 2019 which reached Rp 174.22 billion.
• PT Medco Energi Internasional Tbk (MEDC) posted a net loss of US$ 188.97 million throughout 2020. This value swelled from the loss in 2019 which was only US$ 38.76 million.

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