Market Prediction

Wall Street index closed lower overnight than the previous day's trading, this decline was due to market participants anticipating the release of new US employment for May period, which was higher than expected and far better than the employment figures in April.

A positive employment absorption is feared to trigger monetary tightening. Thus the policy in reducting the stimulus may have the possibility to be implemented.

JCI closed higher to the level of 6,091 with a bullish candle. The index managed to break the MA 100. The stochastic indicator is bullish, MACD histogram is moving positive (bullish line) and volume is increasing. The nearest point, JCI has the opportunity to test the resistance at level of 6,115. If it succeeds in breaking above that level, JCI can continue to resistance level at 6,143. If it fails to break or the movement tends to be bearish, JCI may be corrected and went down to support level at the range of 6,031 – 6,050.

Commodities Review

• Oil prices slightly corrected at the close of trading Thursday (3/6/2021) after recording two consecutive days of gains and reaching the highest point in a year. The correction came as US weekly crude stockpiles fell sharply, while fuel inventories rose more than expected.
• Crude Palm oil price is at the highest level in trading in the last two weeks in line with the implementation of the lockdown policy in Malaysia and the rally in prices of other agricultural commodities.

Macro Economic News

• The Caixin China General Services PMI fell to 55.1 in May 2021 from a four-month high of 56.3 in the prior month, as COVID cases abroad hurt business activity.
• The Jibun Bank Japan Services PMI was revised upward to 46.5 in May from a preliminary reading of 45.7 and compared with a final 49.5 in April.

Corporate news

• PT Catur Sentosa Adiprana Tbk (CSAP) recorded a 195% increase in net profit in the first quarter of 2021, to Rp 64 billion compared to the same period last year, Rp 22 billion.
• PT Alkindo Naratama (ALDO) throughout the first quarter of 2021, posted revenue of IDR 340.7 billion. An increase of 9.4 percent compared to the same period in 2020 of Rp. 311.4 billion. This result boosted net profit of IDR 14.6 billion. Skyrocketed 79.2 percent compared to the same 2020 edition worth IDR 8.2 billion.
• PT Intikeramik Alamasri Tbk (IKAI) throughout 2020 bore a net loss of Rp. 75.06 billion, or even increased by 4.7 percent from the previous year's loss of only Rp. 71.72 billion.
• PT Uni-Charm Indonesia Tbk (UCID) announced that it has established a new subsidiary on May 28, 2021. The subsidiary is engaged in wholesale trading of medical devices and household supplies.

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