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Daily Market Wrap

October 30, 2025

30 October 2025
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October 30, 2025

NEWS

  • United States: The Fed lowered the Fed Funds Rate by 25 bps to 3.75%–4.00%, but Jerome Powell signaled a hawkish stance that further cuts in December 2025 remain uncertain. The market viewed this decision as a “dovish cut but hawkish tone,” causing US Treasury yields to rise 8–11 bps across all tenors (2Y–30Y) and the US Dollar to strengthen.
  • China: President Donald Trump stated that he would lower fentanyl tariffs on China ahead of his meeting with Xi Jinping, signaling potential improvement in trade relations. China demanded tariff policy stability, technology access, and reciprocal cooperation.

MARKET UPDATE

  • The JCI closed up +0.91% at 8,166.2 yesterday, supported by foreign net purchases of Rp3.7 trillion. However, the risk of a short-term correction has increased due to the Fed's hawkish stance going forward.
  • The rupiah bond market weakened slightly, with the 10-year yield rising 1 bps to 6.01% in line with the increase in global yields. Trading volume increased significantly to Rp31.5 trillion from Rp21 trillion the previous day — signaling high activity ahead of the end of the month.


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.