Indonesia Bourse May End Losing Streak On Wednesday

(RTTNews) - The Indonesia stock market has moved lower in three straight sessions, sinking almost 260 points or 3.6 percent in that span. The Jakarta Composite Index now rests just beneath the 7,630-point plateau although it's due for support on Wednesday.

The global forecast for the Asian markets suggests mild upside on growing optimism about the outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.

The JCI finished sharply lower on Tuesday following losses from the financial and telecom shares, while the cement stocks were mixed and the resource companies were up.

For the day, the index plunged 138.24 points or 1.78 percent to finish at 7,628.60 after trading between 7,619.72 and 7,791.33.

Among the actives, Bank CIMB Niaga dropped 0.88 percent, while Bank Mandiri tanked 4.01 percent, Bank Negara Indonesia tumbled 2.39 percent, Bank Central Asia surrendered 2.27 percent, Bank Rakyat Indonesia retreated 2.82 percent, Indosat Ooredoo Hutchison plunged 3.90 percent, Indocement improved 0.72 percent, Semen Indonesia declined 1.44 percent, Indofood Sukses Makmur skidded 1.01 percent, United Tractors rallied 2.84 percent, Astra International jumped 1.84 percent, Energi Mega Persada soared 3.42 percent, Astra Agro Lestari strengthened 1.71 percent, Aneka Tambang climbed 1.39 percent, Vale Indonesia increased 1.28 percent, Timah rallied 1.38 percent, Bumi Resources spiked 1.85 percent and Bank Danamon Indonesia was unchanged.

The lead from Wall Street is positive as the major averages shook off early weakness on Tuesday and trended generally higher to finish at record closing highs.

The Dow climbed 196.39 points or 0.43 percent to finish at 45,711.34, while the NASDAQ improved 80.79 points or 0.37 percent to close at 21,193.11 and the S&P 500 gained 17.46 points or 0.27 percent to end at 6,512.61.

The strength on Wall Street reflected ongoing optimism about the outlook for interest rates ahead of closely watched inflation data in the coming days. The Labor Department is scheduled to release reports on producer price inflation and consumer price inflation today and tomorrow, respectively.

While last Friday's weaker-than-expected jobs data increased confidence that the Fed will cut interest rates at its meeting next week, the inflation data could influence how aggressively the central bank lowers rates.

In U.S. economic news, the Labor Department said non-farm employment for the 12 months through March 2025 was downwardly revised by 911,000 jobs, also fueling optimism for a rate cut.

Crude oil advanced on Tuesday, extending gains for the second day amid increasing expectations of western sanctions against Russia, while the Israeli attack on Qatar added support to oil prices. West Texas Intermediate crude for October delivery was up $0.29 or 0.47 percent at $62.55 per barrel.

Closer to home, Indonesia will provide July numbers for retail sales later today; in June, sales were up 1.3 percent on year.