Global Market Update
- On September 27th, 2024, the US 10-Year Government Bond yield closed at 3.7506%, a slight increase of 4.57-bps compared to the previous close.
- The Caixin China Manufacturing PMI dropped to 49.3 in September 2024, down from 50.4 in August and below the expected 50.5. This is the lowest since July 2023, driven by a two-year low in new orders and the biggest drop in foreign sales in 13 months. Employment declined, backlogs decreased for the first time in seven months, and purchasing levels fell due to weaker demand.
- In Q2-2024, the UK economy grew 0.7% YoY, down from 0.9%. Key areas like gross fixed capital formation, household, and government spending expanded less than initially estimated. Exports fell more than expected (-2.9%), while imports rose faster (3.3%).
Sources: S&P Global, Office for National Statistics – UK, Bloomberg, and Trading Economics.
Domestic Market Update
- On September 30th, 2024, the Indonesia Government Bond 10 Years Yield closed at 6.5146%.
- On September 30th, 2024, Rating and Investment Information, Inc. (R&I) affirmed Indonesia’s Sovereign Credit Rating (SCR) at BBB+, two levels above investment grade, with a positive outlook. R&I believes Indonesia’s strong economic conditions will continue, supported by solid economic fundamentals, stable external resilience, and low fiscal deficits and government debt ratios.
- Fitch Ratings has withdrawn the ratings for PT Ciputra Development Tbk (CTRA) for commercial reasons. Prior to this, they affirmed the rating at ‘BB-‘ with a Stable Outlook, indicating confidence in CTRA’s sales prospects.
Sources: Rating and Investment Information, Inc. (R&I), Fitch Ratings, Bank Indonesia, Bloomberg, and PHEI.
Market Projection
We predict the 10-year Indonesia Government Yield Curve will continue to move within range 6.4406% – 6.5707% for Tomorrow. Recommendations: FR0062, FR0088, FR0093, FR0091, FR0064, PBS033, PBS005, PBS039, ORI023T6, ORI024T6 and ORI023T3.