Free Trial

Jakarta Extends Movement Curbs, FinMin Indrawati Warns Against Risks To Q1 Growth

IDR

Spot USD/IDR re-opened slightly higher and last trades +18 at IDR14,053. The rupiah has faced a headwind from the extension of movement restrictions in Jakarta & the latest round of comments from FinMin Indrawati.

  • Indonesian capital confirmed extending curbs on movement through Feb 8 in a bid to arrest further spread of new Covid-19 infections.
  • FinMin Indrawati told BBG that the gov't sees downside risks for GDP growth in Q1 after the imposition of fresh restrictions. "We hope in Feb and Mar we can still catch up despite the Jan which is going to be very tough because of Covid and natural disasters," Indrawati said. Meanwhile, she maintained the gov't's growth target of +5.0% Y/Y amid optimism re: Covid-19 vaccines.
  • Indonesian stock exchange Director Laksono Widodo said that the bourse will publish a list of shares eligible for short-selling, to be effective in early Feb.
  • Clearance of the 50-DMA at IDR14,088 is needed to shift topside focus to the 38.2% retracement of the Oct 14 - Jan 4 slide/Jan 12 high at IDR14,204/14,205. Conversely, a retreat under the IDR14,000 mark would clear the way to Jan 4 cycle low of IDR13,865.
  • There is little of note on Indonesia's economic docket this week.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.