Fixed Income Daily One Pager Series — Daily Bond Lantern
Indonesia’s fixed-income market ended mixed, with government bond yields edging higher and the 5Y–10Y curve flattening as the 5-year yield rose to 7.15% while the 10-year reached 7.18%; sukuk yields also moved higher across key tenors, and the INDOBeX Composite slipped 0.00% to 433.073. Markets are watching whether Destry Damayanti can balance economic-growth support with Bank Indonesia’s independence, while stronger US pressure on Iran has reduced the likelihood of a near-term Hormuz agreement. Domestically, retail sales remained weak but improved to -3.0% YoY in June, with a 0.7% MoM rebound suggesting early signs of stabilising consumer demand. Meanwhile, the 11 August 2026 SBSN auction saw net issuance increase by IDR1.5tn WoW, with IDR39.1tn in bids and IDR12.0tn awarded (3.26x bid-to-cover). Demand was particularly strong for PBS030 and SPNS12042027, while yields remained stable at 6.80%–7.24%, with long-tenor PBS034 and PBS038 at 7.23% and 7.24%, respectively. On the corporate side, ADMF remains well positioned, with around IDR1.0tn in cash and cash equivalents to cover its IDR434bn debt repayment due in November 2026.