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Higher Open Predicted For Indonesia Stock Market

The Indonesia stock market has moved higher in three straight sessions, collecting more than 95 points or 1.4 percent along the way. The Jakarta Composite Index now sits just beneath the 7,050-point plateau and it's tipped to open in the green again on Thursday.

The global forecast for the Asian markets is upbeat on easing fears of a worldwide economic slowdown. The European and U.S. markets were sharply higher and the Asian markets are tipped to open in similar fashion.

The JCI finished modestly higher on Wednesday as gains from the financial shares were offset by weakness from the resource stocks.

For the day, the index gained 58.48 points or 0.84 percent to finish at 7,046.63.

Among the actives, Bank Danamon Indonesia climbed 1.18 percent, while Bank CIMB Niaga improved 0.96 percent, Bank Negara Indonesia added 0.62 percent, Bank Central Asia collected 0.33 percent, Bank Mandiri advanced 0.92 percent, Bank Rakyat Indonesia slid 0.45 percent, Indosat Ooredoo surged 5.88 percent, Indocement shed 0.55 percent, Semen Indonesia rose 0.39 percent, Indofood Suskes surrendered 1.87 percent, United Tractors soared 3.27 percent, Astra International jumped 1.93 percent, Energi Mega Persada plunged 4.96 percent, Bakrie Sumatera Plantations tumbled 6.52 percent, Astra Agro Lestari slumped 1.86 percent, Aneka Tambang retreated 1.25 percent, Vale Indonesia gathered 0.83 percent, Timah skidded 1.02 percent and Bumi Resources plummeted 6.96 percent.

The lead from Wall Street is broadly positive as the major averages opened firmly in the green and accelerated as the session progressed.

The Dow surged 416.33 points or 1.29 percent to finish at 32,812.50, while the NASDAQ spiked 319.40 points or 2.59 percent to end at 12,668.16 and the S&P 500 sank 63.98 points or 1.56 percent to close at 4,155.17.

The rebound on Wall Street partly reflected a positive reaction to some upbeat U.S. economic data, which helped ease concerns about a recession.

The Institute for Supply Management noted an unexpected acceleration in the pace of growth in U.S. services sector activity in July. Also, the Commerce Department saw a sharp increase in new orders for U.S. manufactured goods in June.

Crude oil prices fell sharply Wednesday after data showed an unexpected surge in U.S. crude inventories last week. The dollar's strength after hawkish comments from a few Fed officials also weighed on oil prices.

Also, OPEC+ agreed to a tiny increase in output next month amid fears that a global recession will crimp demand. West Texas Intermediate Crude futures for September sank $3.76 or 4 percent at $90.66 a barrel.

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