Continued Consolidation Anticipated For Indonesia Shares

(RTTNews) - Ahead of Thursday's holiday for Independence Day, the Indonesia stock market had halted the two-day winning streak in which it had picked up more than 35 points or 0.5 percent. The Jakarta Composite Index now sits just above the 6,900-point plateau and it may take further damage on Friday.

The global forecast for the Asian markets remains soft on concerns over the outlook for interest rates. The European and U.S. markets were down and the Asian bourses figure to follow that lead.

The JCI finished modestly lower on Wednesday as losses from the financials and resource stocks were mitigated by support from the cement companies.

For the day, the index slipped 14.56 points or 0.21 percent to finish at 6,900.54 after trading between 6,855.89 and 6,909.60.

Among the actives, Bank CIMB Niaga stumbled 1.42 percent, while Bank Danamon Indonesia fell 0.33 percent, Bank Rakyat Indonesia dropped 0.90 percent, Indosat Ooredoo Hutchison rallied 1.56 percent, Indocement perked 0.22 percent, Semen Indonesia climbed 1.09 percent, Indofood Suskes jumped 1.43 percent, United Tractors added 0.46 percent, Astra International rose 0.37 percent, Energi Mega Persada tanked 2.48 percent, Aneka Tambang retreated 1.51 percent, Vale Indonesia plummeted 3.53 percent, Timah gained 0.55 percent, Bumi Resources plunged 2.86 percent and Bank Mandiri, Bank Central Asia, Astra Agro Lestari and Bank Negara Indonesia were unchanged.

The lead from Wall Street is negative as the major averages opened higher on Thursday but quickly turned lower and finished near session lows.

The Dow tumbled 290.91 points or 0.84 percent to finish at 34,474.83, while the NASDAQ slumped 157.70 points or 1.17 percent to close at 13,316.93 and the S&P 500 sank 33.97 points or 0.77 percent to end at 4,370.36.

The weakness on Wall Street came as investors continue to digest Wednesday's Federal Reserve minutes, which suggest the central bank will hold interest rates higher for longer to fight inflation.

In economic news, the Labor Department said first-time claims for U.S. unemployment benefits saw a modest decline last week. Also, the Federal Reserve Bank of Philadelphia said its manufacturing index saw a big jump in August.

Crude oil futures were up on Thursday, snapping a three-session losing streak on news of stimulus measures from China's central bank. West Texas Intermediate Crude oil futures for September climbed $1.01 or 1.3 percent at $80.39 a barrel.