Indonesia Market Today - 6 October 2020

A. INDONESIA MORNING MARKET REVIEW

Tuesday (06/10/2020). The admission of President Trump from Walter Reed Medical Center at 6.30 PM local time was greeted with great fanfare and excitement by investors on Wall Street, despite expectations of a stimulus package agreement, with * the DJIA strengthening of +465.83 points (+1.68%) *. President Trump`s statement when he left the hospital was * "Feeling really good! Don`t be afraid of Covid. Don`t let it dominate your life ... I feel better than I did 20 years ago!" *

Not only was the DJIA stronger, the commodity market also welcomed it * following price increases in almost all counters such as: Oil + 6.32%, Coal + 0.96%, Gold + 0.76%, Nickel + 1.59% & Timah + 1.05% *. * The combination of the sharp strengthening of the DJIA and several commodity prices as well as the approval of the Omnibus Law has the potential to be a positive sentiment driving the JCI to regain its strength 1.19%) have contracted Corvid so that so far the number of victims infected with Corvid19 has reached 307,120 people with the addition of +102 deaths on Monday (an increase of + 0.92%) so far the death toll has reached 11,253 people. (Fatality Rate of 3.66%) *.

B. INDONESIA CORPORATE NEWS

1. PT Link Net (LINK)

Currently, there are four companies from Malaysia and Japan that are in the intensive due diligence phase to take over ownership of this company. The company said that the two strategic investors were engaged in the same business sector as LINK, namely telecommunication media technology (TMT). While the other two are long-term financial investors who have large funds & global operations.

2. PT PP Presisi (PPRE)

Until August 2020. The original target [new contract] was IDR 7 trillion and then revised to IDR 2.2 trillion so that by August it had reached the target of 77.3%. The company is still targeting additional Semarang toll road works - Demak, Mandalika, and the Patimban Port Project. Furthermore, PPRE is still eyeing other industrial areas and the Bogor Heritage and Ecopark projects.

3. PT Nippon Indosari Corpindo (ROTI)

The company stated that it had sold 375,033,700 Treasury shares at a price of Rp1,225 per share to Lief Holding Pte Ltd, an investment company registered in Singapore. The total proceeds from the sale of treasury shares amounted to IDR495.41 billion. The plan to use the proceeds from the transfer will be used for the company`s business expansion in the context of developing the bakery product market and paying short-term debt, thereby reducing the company`s interest expense.

4. PT Phapros (PEHA)

The company said that it had realized capital expenditure of IDR 15.1 billion as of June 2020 for routine investment or compliance with GMP (Good Manufacturing Practices) because throughout 2017 to 2019, the company had invested quite a lot in terms of business development both organically and inorganically. On the other hand, the company revealed that the company`s operational expenditure or operational expenditure is around IDR 389 billion until the first semester of this year.

5. PT Chandra Asri Petrochemical (TPIA)

The Company and Royal Vopak (Vopak), the world`s leading independent tank storage company, have signed a Letter of Intent (LOI) to establish a joint venture (joint venture) for collaboration in the industrial infrastructure business in Cilegon, Banten Province, Indonesia. There are 2 main strategic objectives to be achieved: first to develop a new jetty and tank farm business to serve new third party customers, and second to prepare for investment and construction of supporting infrastructure for TPIA`s second petrochemical complex.

6. PT Sinar Mas Agro Resources and Technology (SMAR)

The Company conducts a sustainable public offering through the SMART Sustainable Bonds II with a target fund to be raised of IDR 3 trillion. The Public Offering Period of bonds is on 15, 16 & 19 October 2020. Meanwhile, the listing date of the bonds on the Indonesia Stock Exchange is 23 October 2020.

C. MARKET STATISTICS

*DJIA +465.83 +1.68% 28148*
*NASDAQ +257.47 +2.32% 11332*
*GOLD +14.5 +0.76% 1918.60*
*OIL +2.34 +6.32% 39.35*
*COAL (Okt/Newcastle) +0.55 +0.96% 58.10*
*NICKEL +227.5 +1.59% 14557.50*
*TIN +187.5 +1.05% 18047.5*
CPO (Nov`) -3 -0.11% 2764
*EIDO +0.48 +2.76% 17.89*
*TLK 18.36 (2720) vs 2650 (TLKM)*
*US 10yr +0.0660 +9.48% 0.7620*
INDO 10yr -0.0057 -0.08% 7.030
*INDO CDS (5yr) -3.536 -3.119% 109.832*
IDR (Spot) 14,800

*IDX Range : 4,910 - 4,993*
*USD/IDR Range: 14,720 - 14,860*

D. STOCK WATCHLIST

GGRM, BBRI, BRPT, BBNI, BSDE, PRDA, MYOR, MIKA, INAF, JPFA.

DISCLAIMER ON
GFS ASIA TEAM

• 0
• 0
• just now
• 0