KIWOOM Morning Equity – 14 August 2026 This document is for information only and for the use of the recipient. It is not to be reproduced or copied or made available to others. WALL STREET HITS NEW RECORD, INDONESIA AWAITS PRESIDENT’S STATE ADDRESS US MARKET: Wall Street closed higher and posted a new record on Thursday's trading (08/13/26), supported by a tech stock rally after July US PPI data came in lower than expected. S&P 500 rose 0.65% to 7,798.99 after briefly breaking through the 7,800 level and posting an intraday record of 7,816.79, Nasdaq Composite strengthened 0.81% to 26,803.03, while Dow Jones Industrial Average rose 0.13% to 53,839.99. The decline in Treasury yields also supported gains in rate-sensitive stocks. INDONESIA: The large scale of government spending opens strategic opportunities to drive a greener and more inclusive economy. The total Procurement General Plan of ministries, institutions, and regional governments reached around Rp1,193.6 trillion in 2025, so decisions related to goods, vendors, and procurement standards can have a broad impact on the economy, MSMEs, labor, and the environment. Collaboration between RMIT University and BINUS University is also driving the use of AI, data transparency, and sustainable procurement to improve vendor evaluation, manage risk, and strengthen supply chain resilience. - Meanwhile, the government is working to strengthen the national gold ecosystem from upstream to downstream. Indonesia has gold reserves of around 3,600 tons, but production reached only around 17 tons in the first half of 2026, well below the annual average of around 100 tons. The government highlighted the potential for trade through non-procedural channels and is pushing for improved traceability, LBMA standards, mining governance, and gold absorption by Bank Indonesia. Bank Indonesia's gold reserves currently stand at only 87.1 tons, or 7.7% of total reserves, so increasing domestic gold reserves is considered a potential additional stabilizer during global economic turmoil. JCI closed down 1.13% at the 6,301.77 level. Throughout Thursday's (08/13) trading, JCI moved in a range of 6,281.57 – 6,390.33. Foreign investors booked a net sell of Rp1.39 trillion in the Regular Market and Rp1.41 trillion across all markets. Foreign fund inflows were mainly directed into BBCA, BBRI, BBNI, GGRM, and EMAS, while the largest selling pressure occurred in TPIA, PTRO, BRPT, DSSA, and ASII. In the foreign exchange market, the Rupiah was relatively stable around Rp17,870/US$ as the US dollar tended to be flat ahead of the July US PPI release. Domestically, attention was focused on the government's commitment to keeping the 2026 state budget deficit below 3% of GDP, supported by tax revenue growth of more than 23% YoY in January–July 2026. Meanwhile, the 2027 draft state budget (RAPBN), to be delivered today, is expected to maintain a domestic consumption-based policy. Technically, JCI formed a bearish candle after again failing to break through the 6,377 resistance, closing slightly below the EMA10 (6,306.90), but still holding above the EMA20 (6,251.87) and EMA50 (6,269.92). This condition indicates short-term bullish momentum is starting to weaken, though the higher low structure remains intact as long as JCI can hold above the EMA20 – EMA50 area. The RSI (14) at 54.43 remains in neutral-bullish territory, leaving room for further strengthening open. As long as it holds above 6,270 – 6,252, the chance of retesting 6,377 remains open, with a further target of 6,460 – 6,550, while the next major resistance is around 6,723. Conversely, should JCI break below 6,270 – 6,252, correction pressure could potentially continue toward 6,186 (gap area) down to 6,105. KIWOOM RESEARCH advises accumulate on weakness as long as JCI holds above 6,252, or buy on breakout should it manage to break through 6,377, with a trailing stop should it close below 6,252.