Week II December 2019 Latest Publisher and Economic Events Color the movement of regional and domestic markets in the past week. Dri summarizes a number of main points that are considered to affect market performance, as follows the trade war and the latest manufacturing indicators in a number of countries influenced the market performance last week. Last week`s market was fell down after the comments of President Trump who wanted to postpone trading agreements with China until the 2020 Presidential Election was over. The US government previously stated that the new import tariff would be charged on products from China worth USD 160 billion on December 15, 2019, if both failed to reach an agreement. In the latest developments, President Trump again spread the threat of the latest trade war with Brazil, Argentina and France. President Trump threatened to restore the increase in steel and aluminum import tariffs from Brazil and Argentina, because it was considered to have massively devaluing their respective currencies. This is considered detrimental to the US farmers and manufacturing in exporting their products. While to France, Trump also threatened to impose import tariffs of up to 100 percent on products from France worth USD 2.4 billion, including Champagne, cheese and a number of other luxury products. This responded to France`s decision that imposed a 3 percent income tax on US technology companies, including the digital advertising and marketplace business. From domestic, Indonesia`s foreign exchange reserves as of the end of November 2019 reached USD 126.6 billion, stable compared to the previous buian position of 126.7 billion. The position of foreign exchange reserves is equivalent to the financing of 7.5 months of imports or 7.2 months of imports and payment of government foreign debt, and is above the international adequacy standards of around 3 imports. The development of foreign exchange reserves in November 2019 was mainly influenced by oil and gas foreign exchange revenues, other foreign exchange revenues, and expenses for the government`s foreign debt payments. From the Japanese economy, the Japanese government announced a fiscal stimulus package worth JPY 13.2 trillion (USD 121 billion) on December 5 2019, which is aimed at encouraging economic growth, helping restore the impact of typhoons damage, and continue the investment in organizing the 2020 Tokyo Olympiad. The largest stimulus package since 2016 will include non -cash assistance, low flowering loans for companies with infrastructure projects, implementation of job training services, MSME subsidies, export market expansion of agricultural products, as well as computer device assistance for public schools. Japanese-Japanese Manufacturing Manufacturing Indicator PMI Manufacturing PMI rose from 48.4 to 48.9 in November 2019. Export demand and output production declined, bringing Japanese manufacturing activities are still in the contract zone Si.Dex Prospects of the Japanese-Lii Economy Low down to 91.8 (vs 92.0 market predictions) in October 2019 from the level of 91.9 in the previous month. This development indicates Japan`s economic prospects that slow down in the next 6-2 months, following the impact of a weakened trade war and household beliefs. From the European economy, the indicator of IHS Markit Eurozone Manufacturing PMI is recorded to rise from 45.9 to 46.9 in the month November 2019. The PMI level below 50 has been an indication of the contraction of the European manufacturing sector in the last 10 months, following the decline , 8 of the previous month level, 51.7. Expansion of the Manufacturing Sector Small and Medium Enterprises are recorded to continue to occur in the last 4 burss, driven by output growth, new orders, as well as export orders that rose for the first time in 1.5 years. Caixin China General Services PMI Indicator in November 2019 rose to 53 level , 5 (vs. 52.7 consensus) from the level of 51.1 in the previous buian. Chinese non -manufacturing sector expansion is supported by new orders, and export orders received by business people. From the US economy, PMI Buian ISM Manufacturing Indicators November 2019 dropped to 48.1 from October 48.3, and lower than market expectations 49 , 2. The survey results for business people showed a decrease in new orders, new export demand and labor absorption in the market. This condition indicates that the US manufacturing sector is still contracting. The PMI non-manufacturing ISM indicator in November 2019 fell to the level of 53.9 (vs. 54.5 market consensus) from the level of 54.7 in the previous month. The activities of the US service sector grow slower than expected, although new orders and labor absorption are still increasing. In terms of foreign trade performance, export value (-0.2%) and imports (-1.7%) in October 2019, decreased respectively reached USD 207.12 billion and USD 254.3 billion. This brought a trade deficit of USD 47.2 billion (vs. deficit of USD 48.7 billion consensus), decreased compared to the previous month`s deficit of USD 51.1 billion. This trading gap is the lowest in 17 months. In the US manufacturing sector, the order received by the manufacturer (Factory Orders) grew 0.3% Mom in October 2019, following a 0.8% mom decrease in September. The increase in demand occurred in the group of transportation, computer and electronic equipment products, as well as machinery. In the US labor sector, non -agricultural labor absorption in the November 2019 reached 266 thousand positions (vs 181 thousand market projections), increased from the previous buian by 156 thousand position. Average 3 -month labor absorption rose from 189 thousand positions to 205 thousand positions. The US unemployment rate decreased from 3.6% to 3.5%. The mean income of perception received by labor grows from 0.4% Mom to 0.2% Mom. While the claim of weekly unemployment allowance (as of 30 November 2019) decreased by 10 thousand applications to 203 thousand applications. The average 4 weekly reached 217,750 applications, or lower 2 thousand applications from the previous week. ADP Employment Report shows that the additional absorption of private non -agricultural US labor reaches 67 thousand positions in November, lower than the previous month absorption of 121 thousand positions. According to the size of the business, small businesses add 11 thousand positions, medium businesses (+29 thousand positions) and large businesses (+27 thousand positions). According to the business sector, the industrial sector reduces the workforce by 18 thousand positions, while the service sector adds an absorption of 85 thousand positions. At the meeting in Vienna, OPEC and non -OPEC producing countries agreed to cut greater production, with an additional 500 thousand barrels/day ( BPD) until March 2020. This brought a total production trimming reaching 1.7 million BPD. Saudi Arabia himself said it plans to cut production voluntarily up to 400 thousand BPD, so that it carries the potential for cutting up to 2.1 million BPD. Sunday Ill December 2019 Some economic indicators that need to be examined next week include* USA: NFIB Small Business Index, Inflation rate, FOMC Rate Decision, Producer Price Index, Retail Sales, Weekly Unemployment Allowance Claims. * Japan: Tankan Index, Industrial Production * China: inflation rate, producer price index, * Eu: Industrial Production, ECB Rate Decision * Indonesia: Source Automotive Sales: Danareksa Research Institute Photo by Reuben Mcfeeters on Unsplash