Indonesia Market Tipped To Bounce Higher Again On Tuesday

(RTTNews) - The Indonesia stock market on Monday ended the two-day winning streak in which it had gathered almost 50 points or 0.8 percent. The Jakarta Composite Index now sits just beneath the 6,855-point plateau although it's likely to rebound on Tuesday. The global forecast for the Asian markets is positive, mostly on bargain hunting following heavy selling last week. The European and U.S. markets were up and the Asian bourses figure to follow suit.

The JCI finished barely lower on Monday following losses from the cement companies and mixed performances from the financials and resource stocks.

For the day, the index dipped 1.80 points or 0.03 percent to finish at 6,854.78. Among the actives, Bank Danamon Indonesia fell 0.34 percent, while Bank CIMB Niaga lost 0.40 percent, Bank Negara Indonesia collected 0.56 percent, Bank Central Asia climbed 1.15 percent, Bank Mandiri rose 0.25 percent, Bank Rakyat Indonesia gained 1.05 percent, Indosat Ooredoo Hutchison strengthened 1.52 percent, Indocement shed 0.68 percent, Semen Indonesia slid 0.34 percent, Indofood Suskes gathered 0.38 percent, United Tractors climbed 0.90 percent, Astra International advanced 0.87 percent, Energi Mega Persada slumped 0.72 percent, Aneka Tambang added 0.50 percent, Vale Indonesia improved 0.38 percent, Timah dropped 0.84 percent, Bumi Resources sank 0.74 percent and Astra Agro Lestari was unchanged.

The lead from Wall Street suggests mild upside as the major averages opened sharply higher on Monday, faded as the day progressed but still finished with modest gains.

The Dow added 72.17 points or 0.22 percent to finish at 32,889.09, while the NASDAQ advanced 72.04 points or 0.63 percent to close at 11,466.98 and the S&P 500 rose 12.20 points or 0.31 percent to end at 3,982.24.

The early rally on Wall Street reflected bargain hunting as some traders looked to pick up stocks at reduced levels following the steep drop last week.

However, buying interest waned over the course of the session as traders expressed concerns about the outlook for interest rates as recent economic data has led to worries the Federal Reserve will raise rates more than anticipated.

In economic news, the Commerce Department noted a sharp pullback in new orders for durable goods in January. Also, the National Association of Realtors said pending home sales in the U.S. spiked by more than expected in January.

Crude oil prices pulled back Monday, handing back recent gains on concerns that higher interest rates will tip the global economy into a recession. West Texas Intermediate crude for April delivery slid $0.64 or 0.8 percent to $75.68 a barrel.