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Indonesia Stock Market May Be Stuck In Neutral

The Indonesia stock market on Thursday snapped the two-day winning streak in which it had advanced more than 55 points or 0.9 percent. The Jakarta Composite Index now rests just beneath the 6,245-point plateau and it may spin its wheels again on Friday.

The global forecast for the Asian markets is flat with a touch of upside on concerns over the outlook for interest rates. The European markets were slightly higher and the U.S. bourses were mixed and little changed and the Asian markets figure to split the difference.

The JCI finished modestly lower on Thursday following losses from the resource stocks and mixed performances from the financial shares and cement companies.

For the day, the index lost 32.16 points or 0.51 percent to finish at 6,244.47 after trading between 6,242.89 and 6,282.06.

Among the actives, Bank Danamon Indonesia jumped 1.50 percent, while Bank Mandiri skidded 1.39 percent, Bank Central Asia eased 0.17 percent, Bank Negara Indonesia tumbled 1.58 percent, Bank Rakyat Indonesia shed 0.47 percent, Indosat retreated 1.563 percent, Indocement added 0.60 percent, Semen Indonesia plunged 2.92 percent, United Tractors plummeted 3.44 percent, Bumi Resources sank 2.08 percent, Aneka Tambang was down 1.88 percent, Vale Indonesia declined 1.34 percent, Timah cratered 3.57 percent and Indofood Suskes was unchanged.

The lead from Wall Street provides little clarity as stocks opened higher on Thursday before giving ground later in the day, ending mixed and roughly flat.

The Dow fell 52.29 points or 0.19 percent to 27,094, while the NASDAQ rose 5.49 points or 0.07 percent to 8,182.88 and the S&P 500 added 0.06 points to end at 3,000.79.

The lackluster close on Wall Street came amid continued uncertainty about the outlook for interest rates following the Federal Reserve's monetary policy announcement on Wednesday.

The Fed lowered interest rates by 25 basis points as expected but indicated officials are mixed about whether the central bank should cut rates again before the end of the year.

In economic news, the Labor Department noted a modest rebound in initial jobless claims last week, while the Philadelphia Federal Reserve saw a modest slowdown in the pace of growth in regional manufacturing activity in September.

Crude oil futures settled just marginally up on Thursday, despite moving up sharply early on in the session on continued geopolitical concerns. West Texas Intermediate crude oil futures for October ended up by 2 cents at $58.13 a barrel.

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