Lower Open Predicted For Indonesia Stock Market

(RTTNews) - The Indonesia stock market has alternated between positive and negative finishes through the last four trading days since the end of the two-day slide in which it had slipped almost 10 points or 0.15 percent. The Jakarta Composite Index now rests just above the 7,050-point plateau and it may take further damage on Wednesday.

The global forecast for the Asian markets is mixed to lower ahead of the Federal Reserve's monetary policy announcement later today. The European markets were up and the U.S. bourses were down, and the Asian markets are tipped to follow the latter lead.

The JCI finished modestly lower on Tuesday following mixed performances from the financial shares and the resource stocks.

For the day, the index lost 46.59 points or 0.66 percent to finish at 7.052.30.

Among the actives, Bank Danamon Indonesia plunged 3.82 percent, while Bank Mandiri retreated 1.42 percent, Bank Rakyat Indonesia collected 0.22 percent, Indosat Ooredoo Hutchison rallied 2.21 percent, Indocement skyrocketed 9.97 percent, Semen Indonesia advanced 0.94 percent, United Tractors tanked 2.63 percent, Astra International skidded 1.13 percent, Aneka Tambang tumbled 1.90 percent, Vale Indonesia added 0.38 percent, Timah surrendered 2.21 percent, Bumi Resources plummeted 3.17 percent and Bank Central Asia, Bank CIMB Niaga, Astra Agro Lestari, Indofood Suskes, Energi Mega Persada and Bank Negara Indonesia were unchanged.

The lead from Wall Street is soft as the major averages were unable to hold early gains on Tuesday, quickly heading south and ending in the red.

The Dow shed 79.75 points or 0.24 percent to finish at 32,653.20, while the NASDAQ dropped 97.30 points or 0.89 percent to end at 10,890.85 and the S&P 500 fell 15.88 points or 0.41 percent to close at 3,856.10.

The weakness that emerged on Wall Street came as traders wished to consolidate their positions ahead of the Fed announcement. The Fed is widely expected to raise interest rates by another 75 basis points, but traders have expressed optimism the central bank will signal plans to slow the pace of rate hikes at upcoming meetings.

In economic news, the Labor Department noted a jump in U.S. job openings in September, while the Institute for Supply Management showed a slight increase in U.S. manufacturing activity in October. Also, the Commerce Department said construction spending in the U.S. unexpectedly increased in October.

Crude oil prices climbed higher on Tuesday on a weak dollar, a reduction in OPEC crude output, an upward revision in oil demand forecast by OPEC, and record U.S. oil export data. West Texas Intermediate Crude oil futures for December jumped $1.84 or 2.1 percent at $88.37 a barrel.