Fixed Income Daily One Pager Series — Daily Bond Lantern
Indonesian government bond yields rose across the 5Y–10Y segment, with the 5Y yield up 5.3 bps to 6.93% and the 10Y yield up 4.6 bps to 7.09%, steepening the 5Y–10Y curve by 1.1 bps. On the macro front, the 2027 budget is expected to support downstream industrialization and reduce reliance on imported fossil fuels, while Iran–Strait of Hormuz tensions remain a key risk to energy supply and global trade. Stronger-than-expected US housing data also pointed to resilient residential activity. In credit, the SBN auction saw strong demand with a 2.49x bid-to-cover ratio, while ADHI faces rising default risk after bondholders rejected its coupon deferral proposal.