Market Prediction

Last week, JCI managed to move up amid a surge in Covid cases and the implementation of emergency PPKM.

On the other hand, Wall Street stock market closed higher in response to the release of nonfarm payrolls data for June period of 850k or above the forecast and figures in May period.

JCI closed higher with a bullish candle. The stochastic indicator is bullish, MACD histogram is moving in a positive direction (the line is weakening) and volume is increasing. If JCI moves bullish again, there is a chance for JCI to strengthen the resistance at the range of 6,067 – 6,070. If the movement tends to be bearish, JCI could drop to support at 5,992 & support II at 5,969.

Commodities Review

• Gold prices closed higher at the end of trading last week after printing the lowest price in two months earlier in the week. As a result, gold also strengthened in two consecutive weeks. The Increase in gold price actually came ahead of the weekend. This comes after data on non-farm payrolls in the United States (US) increased more than expected, which was 850,000 in June.

Macro Economic News

• The trade deficit in the US widened to $71.2 billion in May of 2021 from an upwardly revised $69.1 billion in April and compared to market forecasts of $71.4 billion as the goods deficit increased by $2.3 billion to $89.2 billion and services surplus was up $0.1 billion to $17.9 billion.T
• The American economy added 850K jobs in June, the strongest job growth in 10 months, and well above market forecasts of 700K.
• The US unemployment rate edged up to 5.9 percent in June 2021, little-changed from May's 14-month low but still well above pre-pandemic levels, as the number of unemployed people increased by 168 thousand to 9.48 million, while employment levels fell by 18 thousand to 151.60 million.

Corporate news

• The Performance of PT Eka Sari Lorena Transport Tbk (LRNA) experienced a decline in revenue in the first three months of this year. During the first quarter of 2021, LRNA’s revenue was IDR 17.08 billion. A decrease of 18.51% compared to LRNA's revenue achievement in Q1-2020 which amounted to IDR 20.96 billion.
• PT Siantar Top (STTP) throughout the first quarter of 2021 recorded revenues of IDR 1.02 trillion. Soared 8.53 percent from the realization of the same period in 2020 of IDR 944.93 billion.
• PT Charoen Pokphand Indonesia (CPIN) throughout the first quarter of 2021 pocketed a net profit of IDR 1.45 trillion. An increase of 61.98 percent from the same period in 2020 with a net profit collection of IDR 900.25 billion.
• PT Kresna Graha Investama (KREN) throughout the first quarter of 2021 posted a net loss of IDR 55.81 billion. This position is better than the same position in 2020 with a collection of losses of IDR 136.08 billion.

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