Seeking Alpha

Inflation, trade data boost Indonesia, Thailand

  • Indonesia logs a $130M trade surplus in August, welcome news after July's $2.3B deficit. Additionally, consumer inflation falls to 8.4% in September from 8.79% in August. The rare double dose of good news helps local stocks (IDX, IDXJ, EIDO) rally 0.7% on the day.
  • "The combination of a fall in headline inflation and a return to a monthly trade surplus will help reassure nervy markets and Bank Indonesia, in the short term at least," Credit Suisse says, although an uptick in core inflation (4.72% in September versus 4.48% in August) will likely be enough to keep the central bank leaning hawkish for the time being.
  • Meanwhile, Thailand's CPI rises 1.42% Y/Y in September, down from 1.59% in August, as food prices fall. The country's Commerce Ministry takes the opportunity to cut its 2013 inflation target to 2.1-2.6% versus its previous forecast of 2.8%. The SET (THD, TF, TTF) is stronger by 1.8% after the news.
Comments (0)
Be the first to comment
DJIA (DIA) S&P 500 (SPY)