# BCA - Three potholes on Main Street

> BCA's research note from April 11, 2023 says US consumer demand remains strong but a loosening labour market, renewed energy inflation risk and tighter financing could reduce consumption. It warns a slowing US economy would weigh on Indonesia's external demand, with limited capital inflows given expectations of no rate cuts in 2023.

- Date: 2023-04-11 · published 2023-04-11T12:00:00.000Z
- Category: macro · region Indonesia · magnitude low
- Page: https://feedsoft.ai/events/36721-bca-three-potholes-on-main-street
- Commodities: [Indonesian Rupiah (IDR per USD)](https://feedsoft.ai/c/USDIDR.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

A slowdown in US demand and tighter financing would reduce external demand for Indonesian exports and could keep the rupiah under pressure. For feed buyers, this points to a weaker currency and less support for export-linked commodity demand.

## Read by commodity

- USDIDR: bullish ▲
- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2020-02-25 | [Crude palm oil futures hit 4-month low on uncertain market sentiment \| Malay Mail](https://feedsoft.ai/events/6573-crude-palm-oil-futures-hit-4-month-low-on-uncertain-market-sentiment-malay-mail.md) | -13.3% | -15.6% |
| PALMOIL | 2018-12-24 | [MARC positive on Malaysia’s sovereign rating](https://feedsoft.ai/events/61802-marc-positive-on-malaysia-s-sovereign-rating.md) | -0.4% | +7.2% |
| PALMOIL | 2020-09-29 | [Palm Oil's Biofuel Goals Just Got a Whole Lot Harder to Meet \| Financial Post](https://feedsoft.ai/events/51199-palm-oil-s-biofuel-goals-just-got-a-whole-lot-harder-to-meet-financial-post.md) | -5.6% | +1.6% |
| PALMOIL | 2018-08-13 | [M'sian equities hit, ringgit lowest level in 10 months on Turkish troubles \| The Star](https://feedsoft.ai/events/63775-m-sian-equities-hit-ringgit-lowest-level-in-10-months-on-turkish-troubles-the.md) | -0.7% | -0.0% |
| PALMOIL | 2020-02-28 | [Palm oil heads for worst week in 11 years on demand destruction \| The Star](https://feedsoft.ai/events/5815-palm-oil-heads-for-worst-week-in-11-years-on-demand-destruction-the-star.md) | -4.9% | -14.0% |

## Sources

- bca.co.id: https://www.bca.co.id/en/tentang-bca/media-riset/news-and-features/berita-bca/2023/04/11/02/56/three-potholes-on-main-street

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.