(RTTNews) – Indonesia’s stock market has soared higher in consecutive sessions, gaining more than 100 points or 1.4 percent along the way. The Jakarta Composite Index is now just below the 7,220-point plateau, although the rally may come to a halt on Thursday.
Global forecasts for Asian markets are weak, largely due to expectations of profit-taking after recent gains. European markets were mixed and US markets were sharply lower, with Asian markets looking set to follow suit.
The JCI ended modestly higher on Wednesday after gains from commodity stocks and a mixed picture from cement and financial companies.
For the day, the index added 31.82 points or 0.44 percent to end at 7,219.67 after trading between 7,196.24 and 7,237.97.
Among the active, Bank CIMB Niaga rose 0.30 percent, while Bank Mandiri fell 0.84 percent, Bank Danamon Indonesia fell 0.36 percent, Bank Central Asia gathered 0.54 percent, Indocement lost 0.54 percent, Semen Indonesia went up 0.81 percent, Indofood Suskes fell 0.79 percent, United Tractors fell 0.11 percent, Energi Mega Persada rose 2.65 percent, Aneka Tambang fell 0.30 percent, Vale Indonesia rose 1 .68 percent, Timah rose 2.44 percent, Bumi Resources climbed 1.16 percent and Astra International, Indosat Ooredoo Hutchison, Astra Agro Lestari, Bank Negara Indonesia and Bank Rakyat Indonesia remained unchanged.
Wall Street’s lead is broadly negative as the major averages held close to the line for most of Wednesday’s session but fell sharply heading into the close.
The Dow Jones fell 475.92 points or 1.27 percent to close at 37,082.00, while the NASDAQ plunged 225.28 points or 1.50 percent to close at 14,777.94 and the S&P 500 fell 70, fell 02 points or 1.47 percent to end at 4,698.36.
The late-day sell-off on Wall Street was largely attributed to profit-taking, with traders taking advantage of the strong upside seen in recent sessions.
A sharp decline in shares of FedEx (FDX) also weighed on markets, with the delivery giant plunging 12.1 percent after the company reported weaker-than-expected second-quarter results and cut its full-year revenue guidance.
In economic news, the Conference Board recorded a much bigger-than-expected improvement in US consumer confidence in December, while the National Association of Realtors showed an unexpected recovery in US existing home sales last month.
Oil prices edged higher on Wednesday on concerns about trade disruptions in the Middle East after attacks on ships in the Red Sea. West Texas Intermediate crude futures ended January higher by $0.28, or 0.4 percent, at $74.22 per barrel.
Closer to home, Indonesia’s central bank will conclude its monetary policy meeting and then announce its decision on interest rates. The central bank is expected to keep the interest rate on the credit facility (6.00 percent), the interest rate on the credit facility (6.75 percent) and the interest rate on the deposit facility (5.25 percent) unchanged.
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