Indonesia Stock Market May Add To Its Winnings

(RTTNews) - The Indonesia stock market on Wednesday ended the two-day slide in which it had slumped more than 130 points or 1.8 percent. The Jakarta Composite Index now sits just beneath the 7,080-point plateau and it may extend its gains on Thursday.

The global forecast for the Asian markets is positive as U.S. inflation data eased concerns over the outlook for interest rates. The European and U.S. markets finished solidly higher and the Asian bourses figure to follow that lead.

The JCI finished sharply higher on Wednesday following gains from the financials, cement companies and telecoms, while the resource stocks came in mixed.

For the day, the index jumped 122.90 points or 1.77 percent to finish at 7,079.56 after trading between 6,977.77 and 7,084.56.

Among the actives, Bank CIMB Niaga strengthened 1.47 percent, while Bank Mandiri surged 6.48 percent, Bank Danamon Indonesia spiked 2.40 percent, Bank Negara Indonesia soared 6.78 percent, Bank Central Asia jumped 2.89 percent, Bank Rakyat Indonesia rallied 7.63 percent, Bank Maybank Indonesia climbed 1.98 percent, Indosat Ooredoo Hutchison added 0.85 percent, Indocement improved 1.66 percent, Semen Indonesia accelerated 3.66 percent, Indofood Sukses Makmur advanced 2.33 percent, United Tractors rose 0.78 percent, Astra International gained 4.00 percent, Astra Agro Lestari gathered 1.27 percent, Aneka Tambang perked 0.66 percent, Vale Indonesia sank 0.82 percent, Timah plunged 3.57 percent, Bumi Resources declined 1.61 percent and Energi Mega Persada and Jasa Marga were unchanged.

The lead from Wall Street is solid as the major averages opened firmly higher and stayed that way throughout the session.

The Dow surged 703.27 points or 1.65 percent to finish at 43,221.55, while the NASDAQ rallied 466.84 points or 2.45 percent to close at 19,511.23 and the S&P 500 jumped 107.00 points or 1.83 percent to end at 5,949.91.

The rally on Wall Street was a positive reaction to the Labor Department's closely watched report on consumer price inflation in December. While the report showed consumer prices rose slightly more than expected in December, the annual rate of core consumer price growth unexpectedly slowed.

Positive sentiment was also generated in reaction to upbeat earnings news from financial giants JPMorgan Chase (JPM), Goldman Sachs (GS) and Citigroup (C).

Oil prices spiked Wednesday as crude inventories in the U.S. dropped last week, while possible supply disruptions due to new sanctions against Russia also supported prices. West Texas Intermediate Crude oil futures for February rose $2.54 or 3.3 percent at $80.04 a barrel.