Indonesia Bourse May Extend Thursday's Losses

(RTTNews) - The Indonesia stock market on Thursday snapped the two-day winning streak in which it had collected more than 40 points or 0.7 percent. The Jakarta Composite Index now rests just above the 6,750-point plateau and it may take further damage on Friday.

The global forecast for the Asian markets is mixed to lower on concerns of economic slowdown. The European and U.S. markets ended mostly lower and the Asian bourses figure to follow suit.

The JCI finished modestly lower on Thursday following losses from the resource stocks and mixed performances from the financials and cement companies.

For the day, the index dropped 55.97 points or 0.82 percent to finish at 6,755.94 after trading between 6,717.42 and 6,814.12.

Among the actives, Bank CIMB Niaga tumbled 1.85 percent, while Bank Mandiri collected 0.49 percent, Bank Danamon Indonesia fell 0.36 percent, Bank Negara Indonesia was down 0.54 percent, Bank Central Asia skidded 1.12 percent, Indosat Ooredoo Hutchison retreated 1.62 percent, Indocement rose 0.25 percent, Semen Indonesia surrendered 2.89 percent, Indofood Suskes weakened 1.45 percent, United Tractors declined 1.78 percent, Astra International slumped 1.19 percent, Energi Mega Persada plunged 3.42 percent, Astra Agro Lestari shed 0.65 percent, Aneka Tambang tanked 2.86 percent, Vale Indonesia lost 1.08 percent, Timah sank 1.52 percent, Bumi Resources dropped 1.63 percent and Bank Rakyat Indonesia was unchanged.

The lead from Wall Street is uninspired as the major averages opened lower on Thursday and only the NASDAQ was able to peek slightly into the green by the end of the session.

The Dow tumbled 221.82 points or 0.66 percent to finish at 33,309.51, while the NASDAQ rose 22.07 points or 0.18 percent to close at 12,328.51 and the S&P 500 slipped 7.02 points or 0.17 percent to end at 4,130.62.

The weakness on Wall Street came among disappointing earnings news from the likes of Disney (DIS), while renewed concerns about turmoil in the banking sector also weighed.

In economic news, the Labor Department said its producer price index for final demand rose less than expected, adding to optimism the Federal Reserve will leave interest rates unchanged next month.

The Labor Department also said that initial jobless claims climbed to their highest level in well over a year last week.

Crude oil prices fell sharply on Thursday amid uncertainty about the outlook for energy demand, while a firm dollar also weighed. West Texas Intermediate Crude oil futures for June ended lower by $1.69 or 2.3 percent at $70.87 a barrel.