Indonesia Bourse: Support Expected At 7,500 Points

(RTTNews) - The Indonesia stock market on Wednesday ended the two-day winning streak in which it had advanced more than 60 points or 0.8 percent. The Jakarta Composite Index now rests just above the 7,500-point plateau although it's expected to bounce higher again on Thursday.

The global forecast for the Asian markets is positive on optimism over the outlook for interest rates. The European and U.S. markets were up and the Asian bourses are expected to follow suit.

The JCI finished modestly lower on Wednesday following losses from the financials, telecoms, cement companies and resource stocks.

For the day, the index sank 55.86 points or 0.74 percent to finish at 7,501.29 after trading between 7,501.22 and 7,595.58.

Among the actives, Bank CIMB Niaga collected 0.80 percent, while Bank Mandiri tumbled 1.77 percent, Bank Danamon Indonesia fell 0.38 percent, Bank Negara Indonesia shed 0.47 percent, Bank Central Asia rose 0.24 percent, Bank Rakyat Indonesia retreated 1.40 percent, Bank Maybank Indonesia dropped 0.88 percent, Indosat Ooredoo Hutchison plummeted 6.13 percent, Indocement slid 0.36 percent, Semen Indonesia dipped 0.25 percent, Indofood Sukses Makmur skidded 1.07 percent, United Tractors added 0.66 percent, Astra International tanked 2.87 percent, Energi Mega Persada plunged 4.27 percent, Astra Agro Lestari sank 0.75 percent, Aneka Tambang was down 0.66 percent, Jasa Marga lost 0.61 percent, Vale Indonesia gained 0.48 percent, Timah rallied 1.63 percent and Bumi Resources stumbled 4.48 percent.

The lead from Wall Street is upbeat as the major averages opened flat on Wednesday but tracked consistently higher as the day progressed, ending near session highs.

The Dow surged 431.63 points or 1.03 percent to finish at a record 42,512.00, while the NASDAQ jumped 108.70 points or 0.60 percent to close at 18,291.62 and the S&P 500 rallied 40.91 points or 0.71 percent to also end at a record high 5,792.04.

The strength on Wall Street followed the release of the minutes from the Federal Reserve's September meeting, which showed that most members favored the larger rate cut rather than a smaller one, generating optimism for future cuts.

In economic news, the Commerce Department said the U.S. trade deficit shrank to $70.4 billion in August from a revised $78.9 billion in July. Economists had expected the trade deficit to decrease to $70.6 billion from the $78.8 billion originally reported for the previous month.

Crude oil prices fell Wednesday after data showed a big jump in crude inventories which outweighed possible supply disruptions due to Hurricane Milton and Middle East tensions. West Texas Intermediate Crude oil futures for November fell $0.33 or 0.45 percent at $73.24 a barrel.