Indonesia Shares May Open Under Pressure On Wednesday

(RTTNews) - The Indonesia stock market has moved higher in five straight sessions, advancing more than 260 points or 2.8 percent along the way. The Jakarta Composite Index now sits just above the 7,615-point plateau although investors are likely to cash in on Wednesday.

The global forecast for the Asian markets is flat to lower ahead of the FOMC rate decision scheduled for later today. The European markets were up and the U.S. bourses were down and the Asian markets figure to follow the latter lead.

The JCI finished barely higher on Tuesday following mixed performances from the financial shares, cement companies and resource stocks.

For the day, the index perked 3.14 points or 0.04 percent to finish at 7,617.91 after trading between 7,565.79 and 7,680.19.

Among the actives, Bank Mandiri rose 0.21 percent, while Bank Negara Indonesia retreated 1.43 percent, Bank Central Asia skidded 1.18 percent, Bank Rakyat Indonesia shed 0.51 percent, Indosat Ooredoo Hutchison lost 0.44 percent, Semen Indonesia rallied 3.23 percent, Indofood Sukses Makmur dropped 0.90 percent, United Tractors dipped 0.10 percent, Energi Mega Persada skyrocketed 9.35 percent, Aneka Tambang climbed 1.01 percent, Vale Indonesia improved 1.08 percent, Timah slumped 1.43 percent, Bumi Resources advanced 0.87 percent and Bank CIMB Niaga, Bank Danamon Indonesia, Indocement, Astra International and Astra Agro Lestari were unchanged.

The lead from Wall Street is soft as the major averages opened mixed on Tuesday but quickly turned lower, ending near session lows.

The Dow slumped 204.57 points or 0.46 percent to finish at 44,632.99, while the NASDAQ shed 80.29 points or 0.38 percent to close at 21,098.29 and the S&P 500 sank 18.91 points or 0.30 percent to end at 6,370.86.

The pullback on Wall Street may reflected profit taking following the upward trend seen over the past several sessions, which saw the NASDAQ and the S&P 500 reach new record highs.

Traders also seemed reluctant to make significant moves ahead of the Federal Reserve's monetary policy announcement later today. While the Fed is expected to leave interest rates unchanged, the announcement could impact the outlook for rates.

In economic news, the Conference Board released a report showing consumer confidence in the U.S. saw a modest improvement in July. Also, the Labor Department said job openings in the U.S. decreased by slightly less than expected in June.

Crude oil prices moved higher on Tuesday as the U.S. deadline for Russia to finalize an agreement with Ukraine or face sanctions draws nearer. West Texas Intermediate crude for September delivery was up $2.81 or 4.21 percent to $69.52 per barrel.