One Pager Series — SIMINVEST Bond Pharos
Indonesian government bond yields continued to rise, with the 5-year FR104 and 10-year FR0108 yields increasing by 4.8bps and 4.6bps to 7.36% and 7.63%, respectively, while the 5Y–10Y curve slightly flattened by 0.2bps. The INDOBeX Composite also declined by 0.23% to 431.352. Global sentiment remained cautious amid the prolonged US-Iran standoff. Meanwhile, emerging-market sovereign bond issuance fell 49% YoY to below USD12bn in October, as higher developed-market sovereign yields narrowed relative yield advantages and increased borrowing by technology hyperscalers intensified competition for investor capital. In the US, headline and core PCE inflation accelerated to 3.6% and 3.1% YoY in September, respectively, reinforcing concerns over persistent inflation. On the domestic front, PEFINDO assigned PT ASDP Indonesia Ferry (Persero) an idAA+ rating with a stable outlook, supported by its strategic importance to the government, strong market position, profitability, and financial profile, although competition and execution risks related to business expansion remain key constraints.lization.