JCI Wednesday Haunted By Trade War Sentiment, Check Out Stock Recommendations

Illustration. (Photo: Doc. Antara)

JAKARTA - The Composite Stock Price Index (JCI) is projected to continue weakening as the risk of trade war increases today, Wednesday, March 5. Phintraco Sekuritas in his research said the JCI would move in the range of resistance at 6,500, pivot 6,400, and support at 6,300.

Phintraco Sekuritas explained that the JCI experienced a pullback of more than 2 percent, last Tuesday, after nearly 4 percent strengthening on Monday. Pullback is relatively in line with the view that Monday's strengthening is temporary driven by euphoria factors in bank stocks.

"This happened after the revised rating became overweight for BBRI and BBNI earlier this week," wrote Phintraco Sekuritas.

Phintraco Sekuritas added that external sentiment is still negative, and has the potential to increase intensity in the next few days. This is because Canada and Mexico have stated that they plan to take countermeasures against the tariff implemented by the US Government.

Phintraco Sekuritas assessed that the risk of trade war was increasing, even before the reciprocal tariff was implemented, which was scheduled to start April 2025.

"This policy has the potential to trigger a wider tariff war than it is today," said Phintraco Sekuritas.

Placing the above sentiment, Phintraco Sekuritas predicts the JCI will continue to weaken to around 6,300-6,350 today.

Phintraco Sekuritas recommends five shares for today, namely INDF, JPFA, MAPI, ACES, and PTRO.