HIGHLIGHTS
- The 10-year US Treasury yield increased by 14 basis points week-over-week to 3.94% as of August 9, 2024, while the 2-year US Treasury yield rose by 17 basis points to 4.05%. In contrast, the 10-year Indonesian Government Bond (INDOGB) yield decreased by 7 basis points, reaching 6.77% on August 9, 2024, down from 6.85% on August 2, 2024.
- The US Dollar Index depreciated by 0.02% compared to the previous week, while the Indonesian Rupiah appreciated by 1.70%, closing at IDR 15,925 per US dollar on August 9, 2024. Additionally, Indonesia's 5-year Credit Default Swap (CDS) declined by 3 basis points, settling at 78 basis points on August 9, 2024.
- Government bond trading volume amounted to IDR 44.48 trillion, with a focus on medium-term maturities (5-15 years). This was an increase from the previous day's transaction volume of IDR 33.46 trillion but slightly below the year-to-date average of IDR 44.83 trillion. Outright transactions totaled IDR 16.98 trillion, down from the previous day's volume of IDR 22.03 trillion.
- The total volume of corporate bonds was recorded at IDR 1,283 billion, primarily in short-term maturities (<5 years). This marked a decline from the previous day's volume of IDR 1,935 billion and was lower than this year's average of IDR 1,983 billion. Outright transactions amounted to IDR 1,280 billion, down from IDR 1,932 billion the previous day.
- The Jakarta Composite Index (JCI) increased by 0.86%, rising from 7,195 to 7,257. Meanwhile, Brent crude oil prices climbed from $79.73 to $80.50 per barrel, and the WTI Cushing Crude Oil Spot price increased from $75.23 to $76.19 per barrel.
GLOBAL UPDATES
- China Inflation reached 0.5% y-y in July 2024. The highest reading in five months and exceeded estimates of 0.3%. Food price, which is the main deflationary pressure, was flat in July, a better reading considering it was preceded by 12-month deflation streak. Non-food and Core CPI continue to rise. (Trading Economics)
DOMESTIC UPDATES
- Indonesia Retail sales in Jun-24 got revised down to 2.7% from 4.4%. Sales growth was seen significant in Vehicle Spare part and Accessory with 11.4% rate, followed by Food, Beverages, & Tobacco with 3.5% rate. In July, Retail Sales is estimated grew by 4.3% with FnB accelerated to 6.4% y-y. (Bank Indonesia)
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