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Daily Market Wrap

December 18, 2025

18 December 2025
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December 18, 2025

NEWS

  • America : Wall Street closed lower with broad pressure on technology stocks, with the S&P 500 down 1.16% and the Nasdaq down 1.81%, while the Dow Jones was more stable at -0.47% thanks to the defensive sector. The 10-year US Treasury yield rose to 4.15% amid expectations that the Fed will maintain high interest rates for longer.
  • Europe : Markets moved flat, with the STOXX 600 down slightly by 0.01%. Weakness in tech stocks weighed on the market amid concerns over high valuations due to AI euphoria holding back market momentum, although the basic resources sector posted solid performance.
  • Asia : Asian stock markets moved mixed (Nikkei +0.26%, Shanghai +1.19%, Hang Seng +0.92%, Kospi +1.43%, MSCI -0.37% and JCI -0.11%). Movements were influenced by anticipation of US inflation data, uncertainty over Beijing's stimulus, and anticipation of the BOJ's decision, causing investors to be defensive. Meanwhile, Asian bonds remained attractive as defensive assets amid limited risk sentiment.

MARKET UPDATE

  • The JCI corrected by -0.11% to 8,677, supported by moderate volume and slightly negative market breadth. Profit taking ahead of year-end window dressing and sector rotation limited intraday volatility. Monetary sentiment was fairly conducive after BI maintained the BI Rate at 4.75%, with focus on Rupiah stabilitzation and liquidity transmission. However, foreign outflow pressure following the global rate path decision held back momentum, keeping the index moving within a limited range.
  • Bond Market: The 10-year SUN yield fell to 6.12% (-6 bps), signaling stronger prices and interest in longer tenors. Sentiment was supported by expectations of a more dovish global monetary policy, stable domestic inflation, and BI's conservative stance in maintaining interest rates and the rupiah.


Source : Bloomberg, Infovesta

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This document was prepared by PT KB Valbury Asset Management based on information from reliable sources. PT KB Valbury Asset Management does not guarantee the accuracy, adequacy or completeness of the information and materials provided. PT KB Valbury Asset Management Indonesia is not responsible for any legal and financial consequences arising from actions taken based on this document, whether suffered by any person or party.