Market Prediction

In yesterday's trading, JCI closed down 0.15% at 6,097 amidst the release of data on Indonesia’s Foreign direct investment Q2 which grew positively 19.6% higher than the previous period of 14.0% YoY.

On the other hand, Dow Jones, S&P and Nasdaw indexes closed negative. The market is starting to pay attention to the Fed meeting and the momentum of the earnings season for each company.

Other than that, US market players are also paying attention to the rise in infection cases from the delta variant.

JCI closed down with a bearish candle. The stochastic indicator is bearish, MACD histogram is positive (golden cross line) and volume is increasing. If it continues to form a bearish candle, JCI could continue to decline to support I at 6,145 & support II at 6,137. If JCI is able to move bullish, there is a chance to strengthen again to test the resistance at the range of 6,137 – 6,145.

Commodities Review

• Oil prices weakened slightly at the close of trading Tuesday (27/7/2021) ahead of the release of US oil inventories data. Investors are concerned that global demand could be disrupted by soaring Covid-19 cases, despite tighter supply and rising vaccination rates.

Macro Economic News

• South Korea’s economy advanced 0.7 percent on quarter in the three months to June of 2021, following a 1.7 percent growth in the previous period and in line with market expectations, a preliminary estimate showed.
• Foreign direct investment into Indonesia (excluding investment in banking and the oil and gas sectors) jumped 19.6 percent yearon- year to IDR 116.8 trillion (USD 8.06 billion) in the June quarter of 2021, following a 14 percent rise in the previous period.
• New orders for US manufactured durable goods were up 0.8% mom in June of 2021, slowing from an upwardly revised 3.2% surge in May and well below market forecasts of 2.1% as factories continue to struggle with parts and labor shortages and higher material costs.

Corporate news

• PT Sejahteraraya Anugrahjaya Tbk (SRAJ) in the first quarter of 2021 recorded revenue reaching IDR 500.44 billion. This realization shot up 77.39% compared to the same period last year which was only IDR 282.12 billion.
• PT Metrodata Electronics Tbk (MTDL) posted a net profit of IDR 242.8 billion in the first half of 2021, an increase of 55.6% compared to net profit in the same period last year.
• PT Industri Jamu Dan Farmasi Sido Muncul Tbk (SIDO) posted profit growth for the period attributable to owners of the parent entity of up to 21.32% year on year (yoy), to IDR 502 billion .
• Sales of Komatsu brand heavy equipment belonging to PT United Tractors Tbk (UNTR) in the June 2021 period reached 285 units, a 70.66% jump from sales realization in May 2021 which was only 118 units. Sales in June 2021 were the highest since 2020, beating the March 2021 sales record of 272 units.
• The performance of PT Distribution Voucher Nusantara Tbk (DIVA) was good in the first quarter of 2021. DIVA's revenue in the first quarter of 2021 reached IDR 942 billion. This realization rose 9.5% compared to the revenue in the January-March 2020 period which amounted to IDR 861 billion.

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