Danareksa Research Institute foresees inflation of 0.48% MoM in January 2020. This translates into a YoY inflation rate of 2.88%. The planting season along with increases in administered prices of goods and services are expected to raise inflationary pressures in January. Nonetheless, we still expect the annual headline inflation rate to remain stable. (DRI) The yield on the 10-year U.S. Treasury note dropped to its lowest closing level in over three months Wednesday after the spreading coronavirus caused airlines to cancel flights to China and the Federal Reserve did little to change investors" expectations that it could cut interest rates later in the year. The 10-year yield settled at 1.593%, its lowest since Oct. 9, compared with 1.642% Tuesday. (Bloomberg) The Federal Reserve kept its key interest rate unchanged and continued to signal policy would stay on hold for the time being, while stressing the importance of lifting inflation to officials’ target. The central bank also made a technical adjustment to the rate it pays on reserve balances and said it would extend at least through April a program aimed at smoothing volatility in money markets. (Bloomberg) Source: Danareksa Sekuritas Debt Research Photo by Florian Olivo on Unsplash