Global Market Update

• On August 30th, 2024, the yield on US 10-year Government Bonds increased by 4.19 basis points to a level of 3.9034%.
• In August 2024, the Caixin China General Manufacturing PMI increased to 50.4 from 49.8 in July, exceeding market expectations of 50.0. This rise was due to new orders growing, which led to faster production as demand improved.
• In August 2024, the Reserve Bank of Australia's Index of Commodity Prices dropped 5.2% YoY, the steepest fall in 18 months, driven by lower iron ore prices. The index also fell 7.1% in Australian dollar terms.

            Sources: S&P Global, Reserve Bank of Australia, Bloomberg, and Trading Economics.
​
Domestic Market Update

• On September 2nd, 2024, the Indonesia Government Bond Yield closed at 6.6922%, marking a small increase of 0.8 basis points compared to last Friday.
• In August 2024, Indonesia recorded a YoY inflation rate of 2.12%, with the Consumer Price Index (CPI) reaching 106.06. This inflation was primarily driven by price hikes in most expenditure groups, particularly in food, beverages, and tobacco, which increased by 3.39%. However, on a monthly basis, there was a minor deflation of 0.03%.
• The S&P Global Indonesia Manufacturing PMI fell to 48.9 in August 2024, down from 49.3 in July, marking the second straight month of contraction. This was the sharpest decline since August 2021, with output and new orders shrinking at the fastest pace in three years. Foreign orders also fell sharply due to shipping issues, while employment declined slightly. 

           Sources: S&P Global, Bank Indonesia, Bloomberg, Trading Economics and, PHEI.
Market Projection
We predict the 10-year Indonesia Government Yield Curve will continue to move within range 6.6530% - 6.7874% for tomorrow. Recommendations: FR0100, FR0062, FR0088, FR0093, FR0091, PBS038, PBS033, PBS005, ORI023T6, ORI025T6 and ORI024T6.

DOWNLOAD FULL REPORT HERE