Additional Support Anticipated For Indonesia Shares

(RTTNews) - The Indonesia stock market on Wednesday snapped the five-day losing streak in which it had tumbled more than 220 points or 3.1 percent. The Jakarta Composite Index now sits just above the 7,225-point plateau and it may add to its winnings on Thursday.

The global forecast for the Asian markets is cautiously ahead of key U.S. inflation data later this week, which will affect the outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.

The JCI finished modestly higher on Wednesday following gains from the financial shares and resource stocks.

For the day, the index gained 27.10 points or 0.3 percent to finish at 7,227.30.

The lead from Wall Street is positive as the major averages opened slightly higher on Wednesday and accelerated throughout the session.

The Dow jumped 170.57 points or 0.45 percent to finish at 37,695.73, while the NASDAQ rallied 111.94 points or 0.75 percent to end at 14,969.65 and the S&P 500 gained 26.95 points or 0.57 percent to close at 4,783.45.

The strength on Wall Street may have reflected optimism ahead of the release of key U.S. inflation data in the comings days.

The Labor Department's reports on consumer and producer price inflation, which are due to be released on Thursday and Friday, respectively, could have a significant impact on the outlook for interest rates.

With economists expecting the reports to show slowdowns in the annual rate of core price growth, the data could bolster optimism about near-term rate cuts by the Federal Reserve.

Crude oil prices dropped on Wednesday after data showed an unexpected increase in U.S. crude inventories. West Texas Intermediate Crude oil futures for February delivery ended down $0.87 at $71.37 a barrel.