Global Market Update

• The yield on the US 10-year Treasury note neared 4.4% on Tuesday, reaching its highest level in approximately four months. This followed an 11 basis points increase on Monday, spurred by robust US data that tempered expectations for a June interest rate hike.
• Germany's consumer price inflation declined to 2.2% in March 2024 from 2.5% in the prior month, in line with market expectations, according to an initial assessment. This marks the lowest rate since May 2021, edging nearer to the European Central Bank's desired target of 2.0%.
• Consumer credit in the United Kingdom expanded by £1.378 billion in February 2024, a decrease from the £1.77 billion recorded in the prior month and falling short of market projections of £1.6 billion. This decline was primarily propelled by reduced net borrowing via credit cards, which dropped from £0.8 billion to £0.5 billion.
  
  

           Sources: Bank of England, German Federal Statistical Office, Trading Economics and Binaartha.

Domestic Market Update

• On April 2nd, 2024, Indonesia Government Bond Yield Curve (10-Years Bond) closed at level of 6.7156%, marking an increase of 0.41 bps compared to previous close.
• In March 2024, Indonesia's annual inflation rate increased to 3.05% from 2.75%, marking the highest level since August. This rise coincided with Ramadan and the upcoming Eid-el-Fitr celebration. Core inflation also surged to 1.77% in March, up from February's 1.68%, while monthly CPI accelerated to a 0.52% increase, the most significant jump since December 2022.
• On the second day of Q2-2024, the Rupiah's JISDOR rate closed at 15,934, marking a 0.87% depreciation compared to the previous week.

           Sources: BPS, Bank Indonesia, Binaartha.

Market Projection

• We predict the 10-year Indonesia Government Yield Curve will continue to move within range 6.235% - 6.891% for tomorrow. Recommendations: FR0102, FR0089, FR0062, FR0093, and FR0088.

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