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Indonesia Stock Market May Extend Losing Streak

The Indonesia stock market has finished lower in three straight sessions, sliding more than 85 points or 1.4 percent along the way. The Jakarta Composite Index now rests just above the 5,865-point plateau and it's likely to consolidate further on Monday.

The global forecast for the Asian markets is flat to lower, with investors expected to evaluate the most current coronavirus numbers. The European markets were down on Friday and the U.S. bourses were mixed but little changed and the Asian markets figure to split the difference.

The JCI finished slightly lower on Friday as losses from the resource stocks were mitigated by support from the cement companies and a mixed picture from the financials.

For the day, the index dipped 5.01 points or 0.09 percent to finish at 5,866.94 after trading between 5,843.43 and 5,890.03.

Among the actives, Bank Danamon Indonesia collected 0.59 percent, while Bank Mandiri shed 0.32 percent, Bank Central Asia skidded 1.62 percent, Bank Negara Indonesia jumped 1.69 percent, Bank Rakyat Indonesia lost 0.44 percent, Indosat surged 6.06 percent, Indocement spiked 4.29 percent, Semen Indonesia accelerated 1.79 percent, Indofood Suskes climbed 2.14 percent, Bumi Resources sank 1.92 percent, Aneka Tambang fell 0.74 percent, Vale Indonesia retreated 1.57 percent and Timah declined 1.47 percent.

The lead from Wall Street is ambiguous as stocks saw choppy trade on Friday, bouncing back and forth across the unchanged line before eventually closing mixed.

The Dow eased 25.22 points or 0.09 percent to end at 29,398.08, while the NASDAQ gained 19.21 points or 0.20 percent to 9,731.18 and the S&P 500 rose 6.22 points or 0.18 percent to 3,380.16. For the week, the NASDAQ spiked 2.2 percent, the S&P rose 1.6 percent and the Dow rose 1 percent.

Traders have recently shown a predilection toward buying despite signs of mounting headwinds, but the release of a mixed batch of U.S. economic data finally gave them pause.

The Commerce Department said U.S. retail sales rose in line with estimates in January, while core retail sales came in unchanged. Also, the Federal Reserve saw decrease in U.S. industrial production in January, while the University of Michigan noted an unexpected increase in U.S. consumer sentiment in February.

Crude oil prices surged higher on Friday with traders creating fresh long positions amid hopes the coronavirus impact may not weigh on the global economy for long. West Texas Intermediate crude oil futures ended up $0.63 or 1.2 percent at $52.05 a barrel.

Closer to home, Indonesia will provide January numbers for imports, exports and trade balance later today. Imports were worth $14.50 billion and exports were at $14.47 billion for a trade deficit of $28.2 million.

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