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Indonesia Stock Market Tipped To Open Under Pressure

The Indonesia stock market on Wednesday ended the two-day slide in which it had stumbled almost 65 points or 1.2 percent. The Jakarta Composite Index now rests just beneath the 4,965-point plateau although it figures to head south again on Thursday.

The global forecast for the Asian markets is broadly negative on renewed fears regarding the Covid-19 virus. The European and U.S. markets were sharply lower and the Asian markets are tipped to follow suit.

The JCI finished sharply higher on Wednesday following gains from the financial shares and mixed performances from the cement and resource stocks.

For the day, the index soared 85.60 points or 1.75 percent to finish at 4,964.73 after trading between 4,879.13 and 4,977.65.

Among the actives, Bank Danamon Indonesia spiked 2.18 percent, while Bank Mandiri soared 7.52 percent, Bank Central Asia jumped 1.51 percent, Bank Negara Indonesia surged 8.22 percent, Indosat dropped 0.83 percent, Indocement spiked 1.86 percent, Semen Indonesia sank 0.79 percent, Indofood Suskes climbed 1.56 percent, Aneka Tambang gained 1.68 percent, Vale Indonesia fell 0.35 percent and Timah and Bumi Resources were unchanged.

The lead from Wall Street is soft as stocks opened firmly in the red on Wednesday and remained there throughout the session.

The Dow plummeted 710.16 points or 2.72 percent to finish at 25,445.94, while the NASDAQ plunged 222.20 points or 2.19 percent to end at 9,909.17 and the S&P 500 tumbled 80.96 points or 2.59 percent to close at 3,050.33.

The sell-off on Wall Street came as traders could no longer ignore the spiking number of new Covid-19 cases in several U.S. states after Florida and California both reported their single biggest daily increases in new cases.

New York Governor Andrew Cuomo also announced that out-of-state visitors coming to New York, New Jersey and Connecticut from regions with high Covid-19 rates will be required to quarantine for 14 days.

Recent studies suggest the nation's seven-day average of daily new Covid-19 cases spiked more than 30 percent compared with a week ago.

Crude oil prices declined sharply on Wednesday as worries about the outlook for energy demand rose after data showed a surge in coronavirus cases. West Texas Intermediate Crude oil futures for August ended down $2.36 or 5.8 percent at $38.01 a barrel.

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