Higher Open Tipped For Indonesia Stock Market

(RTTNews) - The Indonesia stock market has alternated between positive and negative finishes through the last five trading days since the end of the five-day losing streak in which it had plummeted more than 540 points or 7.9 percent. The Jakarta Composite Index now sits just beneath the 6,875-point plateau and it may tick to the upside again on Wednesday.

The global forecast for the Asian markets is flat to higher amidst a lack of strong catalysts. The European and U.S. markets finished barely higher and the Asian bourses are expected to follow that lead.

The JCI finished modestly higher on Tuesday following gains from the cement stocks and mixed performances from the financials and resource companies.

For the day, the index gained 42.70 points or 0.63 percent to finish at 6,873.55.

Among the actives, Bank CIMB Niaga fell 0.29 percent, while Bank Mandiri collected 0.46 percent, Bank Danamon Indonesia added 0.40 percent, Bank Negara Indonesia accelerated 3.94 percent, Bank Central Asia slid 0.27 percent, Bank Rakyat Indonesia spiked 2.98 percent, Bank Maybank Indonesia shed 0.50 percent, Indosat Ooredoo Hutchison lost 0.57 percent, Indocement gained 0.47 percent, Semen Indonesia rose 0.36 percent, Indofood Sukses Makmur perked 0.32 percent, United Tractors dipped 0.30 percent, Astra International strengthened 1.27 percent, Energi Mega Persada advanced 0.98 percent, Astra Agro Lestari improved 0.86 percent, Aneka Tambang was down 0.32 percent, Vale Indonesia gained 0.67 percent, Timah slumped 0.48 percent, Bumi Resources soared 2.80 percent and Jasa Marga was unchanged.

The lead from Wall Street is flat to higher as the major averages spent most of Tuesday in the shallow red before a late push nudged them barely into positive territory at the close.

The Dow added 10.26 points or 0.02 percent to finish at 44,556.34, while the NASDAQ rose 14.49 points or 0.07 percent to close at 20,041.26 and the S&P gained 14.95 points or 0.24 percent to end at a record 6,139.58.

The choppy trading on Wall Street came as some traders remained on the sidelines following the Presidents' Day holiday on Monday.

In economic news, the Federal Reserve Bank of New York noted a turnaround by regional manufacturing activity in February. Also, the National Association of Home Builders said homebuilder confidence in the U.S. has unexpectedly deteriorated in February.

Oil prices moved higher on Tuesday on supply concerns after Ukraine launched a drone attack on an export pipeline in Russia. West Texas Intermediate Crude oil futures for March settled at $71.85 a barrel, gaining $1.11, or 1.57 percent.

Closer to home, the central bank in Indonesia will wrap up its monetary policy meeting later today and announce its decision on interest rates; the central bank is expected to keep its benchmark lending rate (5.75 percent), deposit facility rate (5.00 percent) and lending facility rate (6.50 percent) all unchanged.