Soft Start Anticipated For Indonesia Stock Market

(RTTNews) - The Indonesia stock market moved lower again on Wednesday, one day after ending the three-day slide in which it had slumped more than 60 points or 0.8 percent. The Jakarta Composite Index now rests just beneath the 6,800-point plateau and it's expected to open lower again on Thursday.

The global forecast for the Asian markets is soft on concerns over interest rates and the economy. The European markets were up and the U.S. bourses were down and the Asian markets are tipped to follow the latter lead.

The JCI finished slightly lower on Wednesday as losses from the energy and resource stocks were offset by support from the financial and cement companies.

For the day, the index dipped 12.35 points or 0.18 percent to finish at 6,798.96.

Among the actives, Bank CIMB Niaga collected 0.38 percent, while Bank Mandiri advanced 0.98 percent, Bank Danamon Indonesia rose 0.30 percent, Bank Negara Indonesia dipped 0.27 percent, Bank Central Asia climbed 0.85 percent, Bank Rakyat Indonesia strengthened 1.02 percent, Indocement improved 0.73 percent, Semen Indonesia gained 0.81 percent, Indofood Suskes declined 1.18 percent, United Tractors rallied 2.80 percent, Unilever fell 0.24 percent, Astra International spiked 2.88 percent, Energi Mega Persada retreated 1.68 percent, Astra Agro Lestari dropped 0.91 percent, Vale Indonesia skidded 1.15 percent, Timah shed 0.49 percent, Bumi Resources plunged 2.42 percent and Indosat Ooredoo Hutchison and Aneka Tambang were unchanged.

The lead from Wall Street is negative as the major averages opened higher on Wednesday and bounced back and forth across the unchanged line before finally settling in the red.

The Dow shed 38.29 points or 0.11 percent to finish at 33,646.50, while the NASDAQ slumped 102.54 points or 0.85 percent to end at 11,929.34 and the S&P 500 lost 16.99 points or 0.41 percent to close at 4,091.95.

Stocks initially benefited from a positive reaction to a Labor Department report showing U.S. consumer prices increased by less than expected in the month of March.

Stocks turned lower over the course of the morning, however, as many economists said they still expect the Federal Reserve to raise interest rates by another quarter point early next month.

While buying interest reemerged later in the session, stocks moved back to the downside after the minutes of the latest Fed meeting suggested the recent banking sector turmoil could lead to a recession.

Crude oil prices moved spiked on Wednesday as tamer-than-expected inflation data contributed to an extended pullback in the value of the U.S. dollar. West Texas Intermediate for May delivery shot up $1.73 or 2.1 percent to $83.26 a barrel.