HIGHLIGHTS
- The yield on the 10-year Indonesia Government Bond stood at 7.160% on September 16, 2026, down from 7.181% on the previous day. Meanwhile, the 10-year UST yield rose by 1 bps to 5.01% yesterday.
- Government bond trading volume reached IDR61.53 trillion, dominated by short-term bonds (<5 years), down from IDR72.22 trillion on the previous day. Nevertheless, trading volume remained above the YTD daily average of IDR49.43 trillion. Meanwhile, outright transactions amounted to IDR27.71 trillion, declining from IDR44.47 trillion on the previous day.
- Meanwhile, corporate bond trading volume stood at IDR7,134 billion, dominated by short-term bonds (<5 years), up from IDR5,455 billion on the previous day and remaining above the YTD daily average of IDR3,313 billion. Outright transactions reached IDR7,117 billion, increasing from IDR5,436 billion previously.
- In the foreign exchange market, the Rupiah weakened by 0.01% to IDR17,693/USD, from IDR17,691/USD, while the JCI declined by 0.38% to 6,437, from 6,461. Meanwhile, Brent crude oil prices declined to USD108.38 per barrel, from USD108.75, while WTI Cushing crude oil prices fell to USD104.84 per barrel, from USD105.83.
GLOBAL UPDATES
- The Federal Reserve raised the fed funds rate by 25bps to 3.75–4.00%, its first hike since July 2023, as policymakers stepped up efforts to contain persistent inflation. The FOMC voted unanimously for the increase and signaled that another hike could follow before year-end. Fed Chair Kevin Warsh said the move removed a degree of policy accommodation and emphasized that price stability remains the Fed’s predominant focus. The decision comes as inflation remains elevated, with renewed oil-price pressures complicating the disinflation outlook and reinforcing the Fed’s more restrictive policy stance. (Bloomberg)
- US retail sales rose 1.2% MoM in August 2026, the strongest increase in five months, reversing a revised 0.5% decline in July and exceeding expectations of 0.8%. Spending increased across 12 of 13 retail categories, supported by back-to-school purchases and higher sales at gasoline stations and online retailers, despite rising gasoline prices. Notably, control-group sales, which feed into GDP calculations, surged 1.4%, the strongest gain in nearly two years. The broad-based increase points to resilient consumer spending and continued momentum in domestic demand despite elevated inflation and tighter monetary conditions. (Bloomberg)
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