Indonesia Stock Market May Add To Its Winnings

(RTTNews) - The Indonesia stock market has finished higher in two of three trading days since the end of the five-day losing streak in which it had fallen more than 170 points or 2.6 percent. The Jakarta Composite Index now rests just above the 7,070-point plateau and it's expected to see additional support on Wednesday.

The global forecast for the Asian markets is upbeat on continued bargain hunting, particularly among the technology stocks and energy companies. The European and U.S. markets were sharply higher and the Asian bourses are predicted to follow that lead.

The JCI finished modestly higher on Tuesday following gains from the resource stocks and a mixed picture from the financial sector.

For the day, the index gained 62.54 points or 0.89 percent to finish at 7,072.26.

Among the actives, Bank Danamon Indonesia climbed 1.16 percent, while Bank CIMB Niaga advanced 0.94 percent, Bank Negara Indonesia lost 0.56 percent, Bank Central Asia collected 0.59 percent, Bank Mandiri shed 0.54 percent, Bank Rakyat Indonesia spiked 2.43 percent, Indosat Ooredoo Hutchison declined 1.69 percent, Indocement skidded 1.06 percent, Indofood Suskes rose 0.41 percent, United Tractors and Astra Agro Lestari both rallied 2.42 percent, Astra International strengthened 1.51 percent, Energi Mega Persada added 0.74 percent, Aneka Tambang jumped 1.85 percent, Vale Indonesia surged 6.07 percent, Timah improved 1.09 percent, Bumi Resources skyrocketed 7.75 percent and Semen Indonesia was unchanged.

The lead from Wall Street is broadly positive for the second straight day as the major averages opened sharply higher on Tuesday and stayed that way throughout the session.

The Dow surged 825.43 points or 2.80 percent to finish at 30,316.32, while the NASDAQ soared 360.97 points or 3.34 percent to end at 11,176.41 and the S&P 500 spiked 112.50 points or 3.06 percent to close at 3,790.93.

The continued strength on Wall Street came as investors scooped up bargains following a brutal September. The rally was also fueled by a lower dollar and falling treasury yields.

Traders also continue to bet that the Federal Reserve may slow the pace of its interest rate hikes on the heels of some disappointing economic data earlier in the week.

Crude oil prices rose sharply Tuesday, extending gains from the previous session as traders continued to bet on hopes the OPEC will agree to a large cut in crude output later today. West Texas Intermediate Crude oil futures for November settled at $86.52 a barrel, up $2.89 or 3.5 percent.