Little Movement Predicted For Indonesia Stock Market

RTTNews · 24 Jan 2.4K Views

The Indonesia stock market on Tuesday ended the two-day winning streak in which it had gathered almost 110 points or 1.8 percent. The Jakarta Composite Index now rests just above the 6,860-point plateau and it's expected to remain stuck in neutral on Wednesday.

The global forecast for the Asian markets is murky, with profit taking likely after recent gains - especially among the oil and technology companies. The European and U.S. markets were mixed and little changed and the Asian bourses are tipped to follow suit.

The JCI finished slightly lower on Tuesday following losses from the financial shares and mixed performances from the resource and cement companies.

For the day, the index dipped 14.08 points or 0.20 percent to finish at 6,860.85.

Among the actives, Bank Danamon Indonesia skidded 1.15 percent, while Bank Negara Indonesia collected 0.28 percent, Bank Central Asia dropped 0.90 percent, Bank Mandiri sank 0.75 percent, Bank Rakyat Indonesia lost 0.65 percent, Indosat Ooredoo Hutchison retreated 1.22 percent, Indocement dipped 0.26 percent, Semen Indonesia improved 0.71 percent, Indofood Suskes advanced 0.73 percent, United Tractors tumbled 2.43 percent, Astra International added 0.42 percent, Energi Mega Persada climbed 0.69 percent, Vale Indonesia declined 1.99 percent, Timah gained 0.39 percent and Bumi Resources, Aneka Tambang, Bank CIMB Niaga and Astra Agro Lestari were unchanged.

The lead from Wall Street offers little clarity as the major averages opened lower on Tuesday, rebounded somewhat and ended the day mixed and little changed.

The Dow gained 104.40 points or 0.31 percent to finish at 33,733.96, while the NASDAQ sank 30.14 points or 0.27 percent to end at 11,334.27 and the S&P 500 eased 2.86 points or 0.07 percent to close at 4,016.95.

The choppy trading on Wall Street came as traders expressed some uncertainty about the near-term outlook for the markets following recent volatility.

Uncertainty about the outlook for interest rates and the economy may also have kept some traders on the sidelines ahead of the release of some key economic data in the coming days.

A negative reaction to some of the latest earnings news contributed to an early pullback, with 3M (MMM) posting a steep loss after reporting weaker than expected fourth quarter earnings and providing disappointing guidance.

Crude oil prices fell sharply Tuesday on concerns about the outlook for demand due to a potential recession in Europe and the U.S. West Texas Intermediate crude futures for March ended lower by $1.49 or 1.8 percent at $80.13 a barrel.

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