PT Equityworld-The weakening of bonds with a tenor of 10 years FR 56, on this day, Monday (21/11/2016) continues.
In today’s trading, at 11:44 GMT, FR 56 fell 0.10% to 103.934, while the yield rose to 0.20% ke7,791.
“Government bond yields seen rising in line with the rupiah weakened to around 13,400,” said economist Samuel Sekuritas Indonesia Rangga Cipta in his research received today, Monday (21/11/2016).
At pk. 11:22 pm, the rupiah fell 19 points or 0.14% to Rp13.447 / US $.
Inflation in November 2016 estimated the BI survey will rise again to around 3.4% -3.5% year on year, he said, also adds to the pressure of rising yields, despite the desire of the government revised down the amount of frontloading in quarter IV / 2016 could limit the rise in yields ,
Rangga said permanent RR BI Rate at the board of governors meeting of November 2016 were accompanied by comments that the monetary easing already limited space, also remove the expectation that yields on government securities could fall dramatically.
“We estimate the external shock is temporary and can be corrected yields on government securities. Although the trend of rising yields will persist in the medium term, following the upward trend of inflation will continue to rise in 2017 to a range of 4.5% year on year, “said Rangga.