One Pager Series — SIMINVEST Bond Pharos
Indonesian government bonds rallied across the benchmark curve, led by the 5Y yield which fell 3.8bps to 6.90%, while the 10Y declined 1.6bps to 7.08%, resulting in a 2.2bps steepening of the 5Y–10Y curve, with INDOBeX Composite edging up 0.01% to 439.859. Demand for shorter-tenor bonds is improving as BI reduces reliance on SRBI, alongside closer coordination with the Ministry of Finance to manage liquidity and issuance. In the US, the central bank balance sheet remained broadly stable at US$6.75tn, while initial jobless claims eased to 197k, indicating resilient liquidity and labor-market conditions. On credit, PEFINDO downgraded WSKT’s corporate and debt ratings to idCCC following a deferred principal payment, while government-guaranteed bonds and sukuk remained at idAAA.