Lower Open Predicted For Indonesia Stock Market

(RTTNews) - The Indonesia stock market on Tuesday ended the two-day winning streak in which it had picked up more than 35 points or 0.5 percent. The Jakarta Composite Index now sits just above the 6,960-point plateau and it's expected to open in the red again on Wednesday.

The global forecast for the Asian markets suggests consolidation on profit taking and weak retail earnings. The European and U.S. markets were down and the Asian markets are tipped to open in similar fashion.

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

For the day, the index sank 33.10 points or 0.47 percent to finish at 6,961.79.

Among the actives, Bank Negara Indonesia jumped 1.91 percent, while Bank Central Asia retreated 1.13 percent, Bank Rakyat Indonesia dropped 0.95 percent, Indosat Ooredoo Hutchison gained 0.55 percent, Indocement tumbled 2.09 percent, Semen Indonesia skidded 1.12 percent, Indofood Suskes rose 0.39 percent, United Tractors sank 0.76 percent, Astra International shed 0.43 percent, Aneka Tambang added 0.62 percent, Timah slumped 1.53 percent, Bumi Resources declined 1.79 percent and Bank Mandiri, Bank CIMB Niaga, Bank Danamon Indonesia, Astra Agro Lestari, Vale Indonesia and Energi Mega Persada were unchanged.

The lead from Wall Street is soft as the major averages opened lower on Tuesday and remained in the red throughout the session.

The Dow dropped 62.75 points or 0.18 percent to finish at 35,088.29, while the NASDAQ tumbled 84.55 points or 0.59 percent to end at 14,199.98 and the S&P 500 fell 9.19 points or 0.20 percent to close at 4,538.19.

The pullback on Wall Street came as some traders looked to cash in on the recent strength in the markets, which has lifted the major averages to their best levels in over three months.

A negative reaction to some of the latest earnings news from major retailers also weighed on Wall Street, with disappointing results from the likes of American Eagle Outfitters (AEO), Kohl's (KSS), Lowe's (LOW) and Best Buy (BBY).

The markets did not show much reaction to the minutes of the Federal Reserve's latest monetary policy meeting, which said Fed officials expect to keep interest rates at a restrictive level for "some time."

Crude oil futures settled slightly lower Tuesday ahead of this weekend's OPEC meeting as investors wait to see if more production cuts may be in store. West Texas Intermediate Crude oil futures for January eased $0.06 at $77.77 a barrel.