Daily Economic Research

KBVS ECONOMIC RESEARCH
Thursday, 18 December 2025

Macro Highlight :
Expectations of diverging policy choices among major central banks this week led to mixed movements in global government bond yields during the previous trading session. Looking ahead, today’s BoE and ECB interest rate decisions, alongside the release of US CPI, weekly initial jobless claims, and the Philadelphia Fed Manufacturing Index, are expected to be key drivers of global financial markets.

Domestically, the Indonesian bond market posted modest gains, with the ICBI rising by +0.07% and the ISIX up by +0.01% in the previous session. Going forward, the market will continue to digest the outcome of the recent policy meeting, while global developments—particularly expectations surrounding a potential BoJ rate hike—are likely to remain key sentiment drivers in the domestic financial market today.

We anticipate a marginal increase in the 10Y SUN yield today (18 Dec ‘25), projecting it to range between 6.03% and 6.23%.

 

Regards,
KBVS Research Team

 

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