BRIDS: The Indonesian Financial Market Will Improve In Semester II 2025
JAKARTA - President Director of PT BRI Danareksa Sekuritas (BRIDS) Laksono Widodo said that Indonesia's economy and financial markets will improve in the second semester of 2025.
Optimism in the second half is in line with the trade agreement between the United States (US) and partner countries, as well as the Fed's potential reduction in the benchmark interest rate.
Semester II 2025 will be better. We will see that the US in the second semester will lower the benchmark interest rate. We will also lower interest rates," said Laksono. quoted by Antara, Friday, July 4.
However, he reminded that optimism in the second half of 2025 will be achieved if there are no more extreme policies from US President Donald Trump and no more geopolitical conflicts.
"This year should be better in the second semester, if nothing gets weird anymore, what will Donald Trump say, go to war again," said Laksono.
Regarding the trade agreement between Indonesia and the US, he assessed that Indonesia's export transactions to the US tend to be less than to China, so market participants don't have to worry about this.
Actually, our exports to the US are not too big. We have more impact on China, because if China fights with the US, then China slows down, we get hit too," he said.
On Tuesday July 1, US President Donald Trump wrote to Fed Chairman Jerome Powell to apply a super low interest rate.
On social media platform Truth Social, Trump criticized The Fed for not lowering interest rates, and said the Fed board should feel ashamed of the conditions experienced by the US.
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Meanwhile, Jerome Powell insists that the central bank remains patient about cutting interest rates further, but does not rule out a reduction at this month's meeting, and stressed that future measures will depend on incoming data.
Powell also said that the Fed must have cut the benchmark interest rate, if there was no impact of inflation from Trump's rates.
On the other hand, US President Donald Trump has announced a trade agreement between the US and Vietnam covering a 20 percent tariff on imports from the country.