logo
Plus   Neg
Share
Email

Higher Open Expected For Indonesia Stock Market

The Indonesia stock market has moved higher in two of three trading days since the end of the three-day slide in which it had stumbled more than 30 points or 0.5 percent. The Jakarta Composite Index now rests just beneath the 6,120 point plateau and it's expected to move higher again on Tuesday.

The global forecast for the Asian markets is upbeat on easing trade concerns and a jump in crude oil prices. The European and U.S. markets were up and the Asian bourses figure to follow that lead.

The JCI finished sharply higher on Monday following gains from the resource stocks and mixed performances from the financials and cement companies.

For the day, the index advanced 62.20 points or 1.03 percent to finish at 6,118.32 after trading between 6,101.74 and 6,157.30.

Among the actives, Indocement spiked 4.71 percent, while Semen Indonesia plummeted 3.53 percent, United Tractors spiked 4.00 percent, Indofood Suskes added 0.76 percent, Unilever Indonesia jumped 3.67 percent, Bumi Resources advanced 3.85 percent, Aneka Tambang skyrocketed 19.51 percent, Vale Indonesia soared 9.90 percent, Bank Danamon Indonesia shed 0.67 percent, Bank Central Asia lost 0.96 percent, Bank Mandiri collected 2.70 percent, Bank Negara gained 2.94 percent and Indosat perked 4.79 percent.

The lead from Wall Street is solid as stocks opened sharply higher on Monday before giving back some ground - although the major averages still finished firmly positive.

The Dow added 287.97 points or 1.13 percent to 25,826.43, while the NASDAQ climbed 110.98 points or 1.51 percent to 7,441.51 and the S&P gained 30.20 points or 1.09 percent to 2,790.37.

The initial jump was a positive reaction to the meeting between President Donald Trump and Chinese President Xi Jinping over the weekend. At the meeting, they agreed to a 90-day truce in the escalating trade war between the world's two largest economies as they work to reach a long-term trade deal.

In economic news, the Institute for Supply Management noted an unexpected acceleration in the pace of growth in manufacturing activity in November. A separate report from the Commerce Department showed construction spending unexpectedly edged lower in October.

Crude oil prices rose sharply on Monday amid easing trade tensions after the U.S. and China agreed on a 90-day trade war truce. Crude oil futures for January ended up $2.02 or 4 percent at $52.95 a barrel.

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT