Indonesia Stock Market May Extend Monday's Gains

(RTTNews) - The Indonesia stock market on Monday ended the two-day slide in which it had slumped more than 100 points or 1.5 percent. The Jakarta Composite Index now rests just above the 6,710-point plateau and it may add to its winnings on Tuesday.

The global forecast for the Asian markets is cautiously optimistic on hopes the Republican-manufactured U.S. debt ceiling situation can soon be resolved. The European and U.S. markets were slightly higher and the Asian bourses are tipped to follow suit.

The JCI finished slightly higher on Monday following mixed performances from the financial shares, resource stocks and cement companies.

For the day, the index perked 3.98 points or 0.06 percent to finish at 6,711.74 after trading between 6,656.65 and 6,729.30.

Among the actives, Bank CIMB Niaga collected 0.71 percent, while Bank Mandiri climbed 1.00 percent, Bank Danamon Indonesia strengthened 1.46 percent, Bank Negara Indonesia slumped 1.11 percent, Bank Central Asia fell 0.28 percent, Indosat Ooredoo Hutchison tumbled 1.60 percent, Semen Indonesia sank 0.85 percent, United Tractors retreated 1.21 percent, Astra International rallied 2.01 percent, Energi Mega Persada declined 1.80 percent, Aneka Tambang shed 0.50 percent, Timah added 0.51 percent, Bumi Resources surged 3.28 percent and Astra Agro Lestari, Indocement, Indofood Suskes, Vale Indonesia and Bank Rakyat Indonesia were unchanged.

The lead from Wall Street ends up positive as the major averages opened lower on Monday, stagnated for a bit and then finally crept up into positive territory.

The Dow added 47.98 points or 0.14 percent to finish at 33,348.60, while the NASDAQ jumped 80.47 points or 0.66 percent to close at 12,365.21 and the S&P 500 rose 12.20 points or 0.30 percent to end at 4,136.28.

The higher close on Wall Street may partly have reflected optimism about an eventual agreement on raising the U.S. debt following comments from Treasury Secretary Janet Yellen.

Yellen said the administration and congressional Republicans are making progress in their negotiations over federal spending and raising the debt limit.

In economic news, the New York Fed released a report this morning showing a strong downturn in regional manufacturing activity in May.

Crude oil prices climbed higher Monday, riding on prospects of lower supplies in Canada and elsewhere, while a weaker dollar also contributed to oil's uptick. West Texas Intermediate Crude oil futures for June gained $1.07 or 1.5 percent at $71.11 a barrel after three days of losses.