Global Market Update
- On October 24th, 2024, the US 10-Year Government Bond yield closed at 4.2118%, a slight decrease of 3.38-bps compared to yesterday.
- The S&P Global US Composite PMI rose to 54.3 in October 2024 from 54.0 in September, signaling solid business growth. The service sector expanded (PMI at 55.3), while manufacturing contracted for the third month (PMI at 47.8). Employment dipped slightly amid uncertainty before the Presidential Election, though business confidence improved with hopes of post-election stability.
- The HCOB Flash Eurozone Composite PMI for October 2024 was 49.7, showing a slight drop-in business activity for the second month. Manufacturing continued its decline, but at a slower pace than in September. The service sector grew slightly, but at its slowest rate in eight months, with new orders falling for the second month.
Sources: S&P Global, Bloomberg, and Trading Economics.
Domestic Market Update
- On October 24th, 2024, the Indonesia Government Bond 10 Years Yield closed at 6.8128%.
- On October 24, 2024, the Ministry of Finance conducted a buyback of FR0040 bonds (IDR 150 billion, 11% coupon, maturing September 15, 2025) at an average price of 104.05%, aimed at managing the government’s bond portfolio. The settlement is scheduled for October 28, 2024.
- Fitch Ratings has upgraded PT Bank Syariah Indonesia Tbk’s (BSI) Viability Rating (VR) to ‘bb+’ from ‘bb’ and affirmed its Long-Term Issuer Default Rating (IDR) at ‘BBB-‘. BSI’s National Long-Term Rating remains ‘AA+(idn)’ with a Stable Outlook.
Sources: DJPPR Kemenkeu, Fitch Ratings, PHEI, and Bloomberg.
Market Projection
We predict the 10-year Indonesia Government Yield Curve will continue to move within range 6.7063% – 6.8418% for Today. Recommendations: FR0102, FR0089, FR0100, FR0062, FR0103, PBS038, PBS033, PBS005, ORI023T6, ORI025T6 and ORI024T6.