Check Out Tuesday's Stock Recommendations Amid The Fluctuating JCI Movement

Illustration. (Photo: Doc. Antara)

JAKARTA - The Composite Stock Price Index (JCI) slightly strengthened 0.02 percent, up 1.17 points to 7,135.89 on Monday 6 May trading. As for the JCI today, Tuesday 7 May, it is projected that it will still fluctuate in support tests at 7,100 and resistance at the level of 7,200.

Phintraco Sekuritas in his research saw that the JCI technically showed a consolidation phase above a critical pivot of 7,100. In addition to technical considerations, conservative attitudes ahead of the long holiday are believed to be a catalyst that restrains the JCI movement.

The main positive sentiment comes from the realization of Indonesia's economic growth of 5.11 percent year on year (YoY) in the first quarter of 2024. This figure is higher than the estimate at 5 percent YoY, but slightly lower than the estimates of the Ministry of Finance (Kemenkeu) of the Republic of Indonesia (RI) at the level of 5.17 percent YoY.

Although it does not provide euphoria in the market, the release of economic growth figures is able to support the JCI movement. In addition, the release of Indonesia's growth data also supports the continued strengthening of the rupiah exchange rate. Today, the rupiah exchange rate rose by 0.36 percent to Rp 16.026 per US dollar.

Then from the external side, the CME FedWatch Tools again recorded an increase in the chance of cutting the Fed's benchmark interest rate in September 2024 to 49.9 percent compared to the 29.1 percent chance of being detained.

"The condition of the labor sector in the United States (US) which worsened was one of the triggers," explained Phintraco Sekuritas.

On the other hand, the Chinese, Euro Area, and German service sector index is consistently above 50 which means it is moving expansively and increasing in April 2024. This condition is considered to balance the negative sentiment of the realization of the April 2024 manufacturing index which tends to decline or stagnate in April 2024.

The stocks recommended by Phintraco Sekuritas today include BRIS, PGEO, INCO, CPIN, MDKA, and TKIM.