Worldwide fuel demand fell by an estimated 30% in April

Oil prices were mixed on Monday as countries started to ease coronavirus lockdowns, though a fresh spat between the United States and China over the origin of the virus weighed on prices. Worldwide fuel demand fell by an estimated 30% in April, and weak consumption is expected to overhang the crude market for months, even as major world oil-producing nations and companies quickly reduce output. However, analysts have said that swift action by those parties could help reduce the supply glut more quickly. (Reuters)

Consumer Price Index (CPI) inflation in April 2020 remains low and under control. CPI inflation in April 2020 was recorded at 0.08% (mtm), lower than the previous month’s inflation of 0.10% (mtm). This was influenced by slowing core inflation, as well as volatile foods and administered prices which again recorded deflation. (Bank Indonesia)

Finance Minister Sri Mulyani highlighted the drop in the Indonesian Manufacturing Purchasing Managers’ Index (PMI) to a level of 27.5 in April 2020. This figure is the worst since 2011. For the record, last March, the Indonesian Manufacturing PMI was still at the 45.3 level. (CNN Indonesia)

Source: Danareksa Sekuritas Debt Research