Indonesia Stock Market May Find Traction On Tuesday

(RTTNews) - The Indonesia stock market has moved lower in four straight sessions, surrendering more than 110 points or 1.6 percent in that span. The Jakarta Composite Index now sits just shy of the 7,120-point plateau although it's likely to halt its slide on Tuesday.

The global forecast for the Asian markets is positive on hopes for an end to hostilities between Israel and Iran. The European and U.S. markets were up and the Asian bourses figure to follow that lead.

The JCI finished modestly lower again on Monday following losses from the food and finance sectors, while the resource stocks were mixed.

For the day, the index sank 48.47 points or 0.68 percent to finish at the daily low of 7,117.59 after peaking at 7,211.54.

Among the actives, Bank CIMB Niaga dipped 0.29 percent, while Bank Danamon Indonesia sank 0.81 percent, Bank Negara Indonesia tanked 3.08 percent, Bank Central Asia skidded 1.11 percent, Bank Rakyat Indonesia eased 0.25 percent, Semen Indonesia shed 0.69 percent, Indofood Sukses Makmur retreated 1.20 percent, United Tractors added 0.57 percent, Astra International advanced 0.88 percent, Energi Mega Persada skyrocketed 18.25 percent, Astra Agro Lestari improved 0.94 percent, Aneka Tambang lost 0.61 percent, Vale Indonesia surged 5.83 percent, Timah gained 0.43 percent, Bumi Resources stumbled 3.76 percent and Bank Mandiri, Indosat Ooredoo Hutchison and Indocement were unchanged.

The lead from Wall Street is firm as the major averages opened higher on Monday and remained in the green throughout the trading day, ending near session highs.

The Dow jumped 317.30 points or 0.75 percent to finish at 42,515.09, while the NASDAQ rallied 294.39 points or 1.52 percent to close at 19,701.21 and the S&P 500 gained 56.14 points or 0.94 percent to end at 6,033.11.

The rally on Wall Street came as traders looked to pick up stocks at somewhat reduced levels following the previous session's nosedive, which came after Israel launched a series of airstrikes against Iran.

The rebound on Wall Street also came as traders looked ahead to a meeting of major world leaders at the G7 summit in the Canadian Rockies later this week.

The Federal Reserve's latest monetary policy announcement is also likely to attract attention from traders in the coming days. While the central bank is widely expected to leave interest rates unchanged, the accompanying statement and Fed officials' latest projections may provide more clarity about the outlook for rates.

Crude oil price fell sharply on Monday after reports that Iran signaled its readiness to end its hostility with Israel. West Texas Intermediate crude oil for July delivery closed down by $1.21 to settle at $71.77 per barrel.