Mild Rebound Anticipated For Indonesia Stock Market

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(RTTNews) – The Indonesia stock market on Thursday snapped the two-day winning streak in which it had gathered almost 60 points or 0.9 percent. The Jakarta Composite Index now sits just above the 6,635-point plateau although it may bounce higher again on Friday.

The global forecast for the Asian markets is mixed to higher, with support expected from oil and technology companies. The European markets were down and the U.S. bourses were mixed and the Asian markets are tipped to follow the latter lead.

The JCI finished modestly lower on Thursday following losses from the financial shares and cement companies, while the resource stocks were mixed.

For the day, the index lost 39.33 points or 0.59 percent to finish at 6,636.47 after trading between 6,621.69 and 6,669.79.

Among the actives, Bank Danamon Indonesia tumbled 2.00 percent, while Bank CIMB Niaga shed 0.48 percent, Bank Negara Indonesia surrendered 1.07 percent, Bank Central Asia plunged 2.31 percent, Bank Mandiri lost 0.69 percent, Bank Rakyat Indonesia slid 0.48 percent, Indosat tanked 2.86 percent, Indocement fell 0.42 percent, Semen Indonesia sank 0.83 percent, Indofood Suskes soared 3.97 percent, United Tractors dropped 0.87 percent, Astra International was down 0.80 percent, Astra Agro Lestari climbed 1.21 percent, Aneka Tambang declined 0.85 percent, Vale Indonesia skidded 1.05 percent, Timah added 0.63 percent and Bumi Resources retreated 1.49 percent.

The lead from Wall Street is mixed as the Dow opened in the red Thursday and remained there throughout the session, while the NASDAQ and S&P shrugged off some early weakness to finish at fresh record closing highs.

The Dow shed 60.10 points or 0.17 percent to finish hat 35,870.95, while the NASDAQ climbed 72.14 points or 0.45 percent to close at 15,993.71 and the S&P 500 rose 15.87 points or 0.34 percent to end at 4,704.54.

The mixed performance followed mixed earnings news from some big-name companies. Retail stocks saw significant strength following upbeat results from companies like Macy’s (M), BJ’s Wholesale (BJ) and Kohl’s (KSS).

Meanwhile, a steep drop by Cisco Systems (CSCO) weighed on the Dow after the company reported better than expected fiscal first quarter earnings but provided disappointing guidance.

In economic news, Labor Department said first-time claims for U.S. unemployment benefits were nearly unchanged, down by 1,000 from last week. Also, the Federal Reserve Bank of Philadelphia showed jump in the pace of growth in regional manufacturing activity in November.

Crude oil futures settled higher Thursday, bouncing back after early weakness, despite uncertainty about the outlook for energy demand. West Texas Intermediate Crude oil futures for December gained $0.65 or 0.8 percent at $79.01 a barrel.