HIGHLIGHTS
- As of October 22, 2024, the yield on 10-year Indonesian Government Bonds rose to 6.680%, compared to 6.639% the previous day. Meanwhile, UST yield rose by 1bps to 4.20% yesterday.
- The volume of government bond transactions reached IDR 48.41 trillion, primarily driven by medium-term bonds (5-15 years). This represents an increase from the prior day's volume of IDR 44.08 trillion and exceeds the year-to-date average of IDR 45.97 trillion. Outright transactions totaled IDR 28.97 trillion, a significant rise from the previous day's IDR 13.74 trillion.
- In contrast, the total volume of corporate bonds was recorded at IDR 1,654 billion, with a focus on short-term bonds (less than 5 years). This marks a decrease from the previous day's volume of IDR 1,929 billion and is below this year's average of IDR 1,922 billion. Outright transactions amounted to IDR 1,641 billion, down from IDR 1,929 billion the day before.
- The Rupiah depreciated by 0.42% against the US Dollar, settling at IDR 15,560, compared to IDR 15,495 previously. Meanwhile, the Jakarta Composite Index (JCI) rose by 0.21%, increasing from 7,773 to 7,789. Additionally, Brent crude oil prices increased from USD 72.59 to USD 73.56 per barrel, while the WTI Cushing Crude Oil Spot price advanced from USD 69.22 to USD 70.56 per barrel.
GLOBAL UPDATES
- IMF upgraded US GDP Growth in 2024 to 2.8% y-y, 0.2 p.p higher than July's forecast, citing the resilient consumer spending and residential investment. Meanwhile, IMF downgraded China's growth outlook in 2024 to 4.8% from July's 5% due to persistent weakness in the real estate sector and low consumer confidence. The IMF noted that the recent policy in China might provide an upside risk to near-term growth. (IMF)
DOMESTIC UPDATES
- The auction results for State Sharia Securities on October 22 indicated a total incoming bid of IDR 17.47 trillion, an increase from IDR 14.85 trillion in the previous auction held on October 8, 2024. The series attracting the highest bids was PBS038, with a yield range of 6.92% to 7.23%, garnering IDR 4.95 trillion in bids. This was followed by the SPNS07072025 and SPNS01042025 series, which received bids of IDR 3.40 trillion and IDR 2.72 trillion, respectively. The yield ranges for these series were 6.25% to 6.35% for SPNS07072025 and 6.20% to 6.30% for SPNS01042025. As a result, the nominal amount awarded in this auction reached IDR 10 trillion, surpassing the government's target of IDR 8 trillion and the previous auction's total of IDR 7.75 trillion. The bid-to-cover ratio for this auction stood at 1.75x. (DJPPR)
- Indonesia Money Supply grew 7.2% y-y in Sep-24, slightly lower than 7.3% y-y seen in Aug-24. The loan growth fell to 10.4% y-y, the lowest in 2024, as working capital loan growth dipped below 10% for the first time since Oct-23. The consumption and investment loan growth remain elevated at 10.7% y-y and 11.7% y-y. (Bank Indonesia)
To see the full version of this daily update, please click here
