Bisnis.com, JAKARTA – Kiwoom Securities Indonesia estimates global sentiment is still the focus of the IHSG on Wednesday (11/21/2018).
Indonesian Film Research and Film Investment Director Maximilianus Nico Demus said the capture of Nissan's boss Carlos Ghosn resulted in the retreat of the car industry in Japan.
Ghosn was arrested for allegedly falsifying payroll reports and using the company's money for personal purposes. It will also be expelled from the board chair due to forgery.
During the trading session on Tuesday (20/11), the US stock markets also declined after forecasts for poor performance of Target Corp and Kohls Corp retailers this quarter. Apple shares also fell due to weaker iPhone demand.
Moreover, for the first time in the history of the 29-year meeting of the Asia-Pacific Economic Cooperation (APEC), the Member States failed to agree on a joint statement. This is expected to increase economic uncertainty in the future.
However, the main focus now is Brexit. British Prime Minister Theresa May has to face the threat of an internal vote of no confidence before he can ensure that a draft agreement between the European Union (EU) and Britain can be agreed by all parties.
Market participants no longer seem to vote to raise the reference rate of the European Central Bank (ECB) next year. This shows that investors are beginning to worry prospects economy in the European region.
Market consensus on the first increase in ECB interest rates in December 2019 fell from 100% to 95%. This decrease is a result of the great tension between Italy, which does not want to revise its budget proposal for next year.
In its budget proposal, Italy is targeting a deficit which will increase by 2.4% of GDP, which is actually within the 3% threshold for EU requirements.
However, the problem is that Italy refuses to cut its loans.
"Technically, JCI has the ability to have a correction room support and resistance on level 5973-6.036 today, "Nikos said in his daily survey Wednesday (11/21).
On Monday (11/19), JCI closed 7.05 points or 0.12% at 6,005. Foreign investors have detained net market in all trading transactions of 600.6 billion drachmas.
The sector with the largest increase was owned by an increase of 0.79%, followed by financial data, which rose by 0.7%. Meanwhile, the sector with the largest decline was the infrastructure that fell 1.43% and the mining decreased by 1%.