Market Prediction

Yesterday's trading, JCI closed down by -0.49% to 6,662.30. Foreign market players recorded a net buy of IDR 802.04 billion (all markets).

Wall Street's main indexes closed lower (DJI -1.07%, GSPC -1.54%, IXIC -3.34%). This weakness was caused after the FOMC meeting which showed the Fed would increase interest rates more quickly.

The market today could respond negatively because of the plan to increase interest rates more quickly. But it is possible that it could be positive because the market will prefer if the plan is carried out immediately.

JCI closed lower with a bearish candle. The stochastic indicator is flat, MACD histogram is moving positive (golden cross line) and volume is down. If JCI moves bullish again, there is a chance to continue the rally or strengthen to the resistance levels of 6,668 - 6,720. If JCI moves a bearish candle, JCI will first go down to support at the range of 6,613 – 6,621. After that, if JCI can hold above support, there is a chance to strengthen again.

Commodities Review

• Gold edged lower on Wednesday, worries over the fast-spreading omicron variant, though trading was range-bound as investors await the minutes of the US Federal Reserve’s latest policy meeting.

Macro Economic News

• Foreign Exchange Reserves in South Korea decreased to 463120 USD Million in December from 463910 USD Million in November of 2021
• The consumer confidence index in Japan was at 39.1 in December of 2021, little changed from 39.2 in November which remained the highest reading since May 2019, as disruptions from COVID-19 eased.
• The IHS Markit US Composite PMI came in at 57.0 in December 2021, little-changed from a preliminary estimate of 56.9 and November's final reading of 57.2.

Corporate news

• PT Waskita Karya (Persero) Tbk (WSKT) recorded a new contract value of IDR 20.51 trillion until the end of December 2021 or reached 100% of the new contract value target of IDR 20 trillion.
• Until the third quarter of 2021, the revenue of PT AirAsia Indonesia Tbk (CMPP) fell 65 percent to IDR 487 billion from revenue for the same period last year of IDR 1.39 trillion.
• As of September 30, 202, PT Dwi Guna Laksana Tbk (DWGL) posted revenue of IDR 1.62 trillion, up 31.76% from revenue for the same period the previous year at IDR 1.23 trillion.
• Otoritas Jasa Keuangan (OJK) has suspended the business activities of Danasupra Erapacific (DEFI). This follows that Danasupra Erapacific's equity did not comply with the provisions. Understandably, as of November 2021, Danasupra Erapacific's equity is only IDR 77.14 billion.

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