Indonesia Stock Market Tipped To Open In The Red

(RTTNews) - The Indonesia stock market on Thursday wrote a finish to the four-day winning streak in which it had rallied almost 150 points or 2.2 percent. The Jakarta Composite Index now sits just beneath the 7,400-point plateau and it's expected to extend its losses on Friday.

The global forecast for the Asian markets is soft, with oil and technology shares likely to lead the way lower. The European markets were mixed and flat and the U.S. bourses were down and the Asian markets figure to split the difference.

The JCI finished modestly lower on Thursday following losses from the financial shares and mixed performances from the cement and resource companies.

For the day, the index dropped 70.51 points or 0.94 percent to finish at 7,394.24 after trading between 7,380.03 and 7,470.89.

Among the actives, Bank Mandiri tanked 2.78 percent, while Bank Danamon Indonesia skidded 1.14 percent, Bank Negara Indonesia surrendered 3.84 percent, Bank Central Asia stumbled 2.40 percent, Bank Rakyat Indonesia retreated 2.74 percent, Bank Maybank Indonesia shed 0.91 percent, Indosat Ooredoo Hutchison jumped 1.61 percent, Indocement rallied 1.39 percent, Semen Indonesia tumbled 1.74 percent, United Tractors added 0.63 percent, Astra International plunged 2.86 percent, Aneka Tambang advanced 0.94 percent, Jasa Marga dropped 0.88 percent, Vale Indonesia surged 4.00 percent, Timah fell 0.41 percent and Bumi Resources, Bank CIMB Niaga, Indofood Sukses Makmur, Energi Mega Persada and Astra Agro Lestari were unchanged.

The lead from Wall Street is negative as the major averages opened mixed on Thursday but quickly headed south and remained in the red for the balance of day, ending near session lows.

The Dow dropped 234.44 points or 0.64 percent to finish at 43,914.12, while the NASDAQ sank 132.05 points or 0.66 percent to close at 19,769.84 and the S&P 500 lost 32.94 points or 0.54 percent to end at 6,051.25.

The weakness on Wall Street came as traders looked to cash in on the strong performance seen on Wednesday, when the tech-heavy NASDAQ closed above 20,000 for the first time ever.

Some negative sentiment was also generated in reaction to a Labor Department report showing producer prices in the U.S. increased by more than expected in the month of November.

While the Federal Reserve is still widely expected to lower interest rates next week, the data has raised some concerns about how quickly the central bank will cut rates early next year.

Oil futures closed lower Thursday after three days of gains after the International Energy Agency's forecast that the oil market will see excess supply next year. West Texas Intermediate Crude oil futures for January fell $0.27 or 0.4 percent at $70.02 a barrel.