TEMPO.CO, Jakarta - LBP Interprise analyst Lucky Bayu Purnomo predicted that President Joko “Jokowi” Widodo’s plan to replace ministers involved in the economic sector would spark negative among market makers causing them to conduct short-term transactions.
“The Indonesian Composite Index (IHSG) would stood at 5,100-5,150,” Lukcy told Tempo on Sunday, May 10, 2015, adding that the negative sentiment would end upon appointments of new ministers, causing the IHSG to increase to 5,500-5,600.
Earlier, Vice President Jusuf “JK” Kalla revealed government’s plan to conduct a cabinet reshuffle. Coordinating Economic Minister Sofyan Djalil, Finance Minister Bambang Brodjonegoro, State-Owned Enterprises Minister Rini Soemarno and Trade Minister Rachmat Gobel are among those most criticized as being “incompetent”.
Lucky said that the market has been particularly watching Sofyan, Rini and Bambang since the three could not bring economic change to the country as rupiah’s exchange against US dollar still stands at Rp13,000 and the economic growth is slowing down to 4.7 percent.