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More Pain Predicted For Indonesia Stock Market

The Indonesia stock market on Monday wrote a finish to the three-day winning streak in which it had advanced almost 150 points or 2.5 percent. The Jakarta Composite Index now rests just above the 5,880-point plateau and it may extend its losses on Tuesday.

The global forecast for the Asian markets is cautious ahead of ongoing trade concerns and this week's FOMC meeting. The European and U.S. markets were mostly lower and the Asian bourses figure to follow that lead.

The JCI finished sharply lower on Monday following losses from the properties, financial shares and the resource stocks.

For the day, the index tumbled 75.52 points or 1.27 percent to finish at 5,882.22 after trading between 5,876.65 and 5,958.57. There were 267 decliners and 112 gainers, with 123 stocks finishing unchanged.

Among the actives, Bukit Darmo Property plummeted 13.10 percent, while Lotte Chemical dropped 2.82 percent, Bank Pan Indonesia skidded 1.59 percent, XL Axiata shed 1.40 percent, Jasa Marga added 0.23 percent, Bank Danamon Indonesia tumbled 3.09 percent, Bank Central Asia collected 0.95 percent, Bank Mandiri declined 1.46 percent, Bank Negara Indonesia retreated 3.59 percent, Bank Rakyat Indonesia plunged 3.53 percent, Bumi Resources slid 0.90 percent, Aneka Tambang gave away 2.44 percent, Vale Indonesia was down 1.91 percent, Indosat fell 0.67 percent and Bank MNC Internasional, Voksel Electric and SLJ Global were unchanged.

The lead from Wall Street is soft as stocks opened lower on Monday and mostly stayed that way throughout the session, although bargain hunting among the technical shares nudged the NASDAQ into positive territory.

The Dow shed 181.45 points or 0.68 percent to finish at 26,562.05, while the NASDAQ added 6.29 points or 0.08 percent to 7,993.25 and the S&P fell 10.30 points or 0.35 percent to 2,919.37.

The weakness on Wall Street comes amid news China has canceled trade talks with the U.S. as tariffs on billions of dollars of goods take effect.

Traders also were reluctant to make significant moves ahead of Wednesday's Federal Reserve meeting. The Fed is widely expected to raise interest rates by another quarter point.

The accompanying statement is likely to attract considerable attention along with Fed Chairman Jerome Powell's press conference as traders attempt to gauge the outlook for further rate hikes.

Crude oil prices moved up sharply on Monday, as crude exports from Iran dropped and top oil producers signaled they were in no rush to increase output. West Texas Intermediate crude oil futures for November ended up $1.30 or 1.8 percent at $72.08 a barrel on the New York Mercantile Exchange, the highest settlement in more than two months.

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