The JCI is predicted to have limited gains next week, along with sentiment that needs to be watched out for

ILLUSTRATION. Indonesia stock exchange.

Reporter: Akhmad Suryahadi | Editor: Herlina Kartika Dewi

KONTAN.CO.ID – JAKARTA. Composite Stock Price Index (IHSG) forecast limited gain next week. Just so you know, the JCI closed up 1.19% to its level. For next week, the JCI is predicted to gain limited strength.

Pilarmas Investindo Sekuritas analyst Okie Setya Ardiastama assessed that next week market players will pay close attention to the release of economic data, such as manufacturing data and inflation which are scheduled to come out on Thursday. Indications of recovery from the manufacturing sector are considered capable of being trigger strong for the next index movement.

Meanwhile, MNC Sekuritas analyst Herditya Wicaksana estimates that JCI has a limited chance of strengthening with a range of 6,120-6,240. However, Herditya emphasized that market players should pay attention to any further corrections that may occur on the JCI to the 5,950-6,100 area.

Regarding the movement of the JCI last week, Okie said that currently market players are watching the strengthening of the United States dollar (US) exchange rate accompanied by an increase in yield bond. Okie said, expectations of a faster economic recovery in the US put pressure on financial market movements, especially emerging markets (emerging markets).

Also Read: Weak 2.53% This Week, IHSG Will Still be Pressured by External Factors

“Currently, domestic market players will also pay close attention to the impact of these external factors,” said Okie when contacted by Kontan.co.id, Friday (26/3).

Rupiah depreciation accompanied by capital outflows in large cap stocks (big cap) during the week this also put pressure on the index.

On the other hand, MNC Sekuritas Analyst Herditya Wicaksana estimated that JCI movement was blocked in the last week due to the new Covid-19 case which caused several countries in Europe to commit lockdown. “Then, the geopolitical heat in China and the decline in world commodity prices have become the weight of the JCI this week,” said Didit.