US Futures Rise as Investors Eye Earnings, Inflation Data, and Wildfire Impacts 
Oil Prices Dip Slightly Amid Focus on Russian Sanctions and U.S. Inflation Data 
2025 Market Outlook: Key January Events to Watch 
Gold Prices Slide as Rate Cut Prospects Diminish; Copper Gains on China Stimulus Hopes 
U.S. Treasury Yields Expected to Decline Amid Cooling Economic Pressures 
U.S. Banks Report Strong Q4 Profits Amid Investment Banking Surge 
Moldova Criticizes Russia Amid Transdniestria Energy Crisis 
US Gas Market Poised for Supercycle: Bernstein Analysts 
Fed May Resume Rate Hikes: BofA Analysts Outline Key Scenarios 
Energy Sector Outlook 2025: AI's Role and Market Dynamics 
Goldman Predicts 50% Odds of 10% U.S. Tariff on Copper by Q1 Close 
Global Markets React to Strong U.S. Jobs Data and Rising Yields 
UBS Predicts Potential Fed Rate Cut Amid Strong US Economic Data 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Urban studies: Doing research when every city is different 
UBS Projects Mixed Market Outlook for 2025 Amid Trump Policy Uncertainty 
Mexico's Undervalued Equity Market Offers Long-Term Investment Potential 
Fitch Ratings believes Indonesia's car sales will increase between 3% and 5% in 2016, buoyed by new product launches, a more positive macroeconomic environment, increased liquidity and more relaxed financing terms.
Fitch believes the country's domestic car sales will reach about 1.05 million units this year. Car sales in the first seven months of 2016 rose 2% yoy to 594,514 units, according to the Indonesian Automotive Industry Association (Gaikindo). PT Toyota Astra Motor (TAM) continues to lead with a 52% market share through leading brands Toyota and Daihatsu; the low-cost-green-car (LCGC) segment is also gaining momentum, and contributed 18% to total car sales in 7M16. Gaikindo forecasts car sales will rise by at least 5% this year.
This year, TAM has introduced the new version of its SUV product - Toyota Fortuner - and launched a new product - Toyota Sienta, which is a seven-seater multi-purpose vehicle (MPV) that will compete with the Honda Freed. Recently, TAM and PT Astra Daihatsu Motor also introduced the Toyota Calya and Daihatsu Sigra, respectively. The Toyota Calya and Daihatsu Sigra are both seven-seater LCGCs that target the low-cost segment; both are in the price range of IDR110m-150m.
Fitch believes Indonesia will maintain GDP growth of 5.1% yoy in 2016, supported by monetary policy easing, government programmes to accelerate infrastructure spending, and a tax amnesty plan. The government expects GDP to grow by 5.3% in 2016, compared with 2015 GDP growth of 4.8%.
The tax amnesty programme should bolster government revenue and allow for increased public capex, in Fitch's view, while the repatriated funds should boost liquidity in Indonesia. Bank Indonesia (BI) has cut its reference rate by a total of 100bp since the end of last year to 6.50% in July 2016 (along with cuts in the reserve requirement ration). BI is also in discussions to further relax the loan-to-value ratios for auto financing. This, along with lower interest rates, would support auto-loans financing; about two-thirds of car purchases in Indonesia are made using car loans.
