Indonesia Stock Market May Test Resistance At 7,100 Points

(RTTNews) - The Indonesia stock market bounced higher again on Thursday, one session after halting the four-day winning streak in which it had climbed more than 125 points or 1.8 percent. The Jakarta Composite Index now sits just above the 7,080-point plateau and it may add to its winnings on Friday.

The global forecast for the Asian markets is mostly positive, although technology companies may fall under pressure. The European markets were up and the U.S. bourses were mostly higher and the Asian markets also figure to move into the green.

The JCI finished modestly higher on Thursday as gains from the financial shares and cement companies were capped by profit taking among the resource stocks.

For the day, the index added 44.65 points or 0.63 percent to finish at 7,080.74 after trading between 7,038.87 and 7,109.61.

Among the actives, Bank CIMB Niaga added 0.59 percent, while Bank Danamon Indonesia rose 0.35 percent, Bank Negara Indonesia improved 0.96 percent, Bank Central Asia collected 0.84 percent, Bank Rakyat Indonesia lost 0.47 percent, Indocement skyrocketed 8.51 percent, Semen Indonesia strengthened 1.56 percent, United Tractors plunged 2.45 percent, Astra International tanked 2.26 percent, Energi Mega Persada climbed 0.88 percent, Astra Agro Lestari surged 5.92 percent, Aneka Tambang spiked 2.35 percent, Vale Indonesia surrendered 4.05 percent, Timah tumbled 5.34 percent, Bumi Resources plummeted 5.56 percent and Bank Mandiri, Indosat Ooredoo Hutchison and Indofood Suskes were unchanged.

The lead from Wall Street is inconsistent as the major averages opened higher on Thursday, with the Dow remaining solidly in the green throughout the session. The NASDAQ quickly turned lower and stayed in the red, while the S&P also fell into negative territory but staged a late rally into positive territory.

The Dow surged 520.47 points or 1.47 percent to finish at 35,950.89, while the NASDAQ slumped 32.27 points or 0.23 percent to close at 14,226.22 and the S&P 500 added 17.22 points or 0.38 percent to end at 4,567.80.

The surge by the Dow was due in large part to a spike by shares of Salesforce (CRM), with the cloud software company soaring by 9.4 percent after it reported better than expected fiscal third quarter earnings and provided upbeat guidance.

Meanwhile, the decrease by the NASDAQ came amid a rebound by treasury yields, as the yield on the benchmark ten-year note bounced off its lowest levels in over two months.

In economic news, the Commerce Department reported that consumer price growth in the U.S. slowed in line with estimates in October.

Oil prices tumbled on Thursday despite an announcement from OPEC that members have agreed to voluntarily output cuts for the first quarter of 2024. West Texas Intermediate Crude oil futures ended lower by $1.90 or 2.4 percent at $75.96 a barrel.

Closer to home, Indonesia will release November data for consumer prices later today; in the previous month, overall inflation was up 0.17 percent on month and 2.56 percent on year, while core CPI rose an annual 1.91 percent.