Lower Open Expected For Indonesia Stock Market

(RTTNews) - The Indonesia stock market has alternated between positive and negative finishes through the last 11 trading days since the end of the two-day winning streak in which it had picked up almost 110 points or 1.3 percent. The Jakarta Composite Index now sits just above the 8,675-point plateau and it's expected to open under water again on Thursday.

The global forecast for the Asian markets is negative on continuing concerns over the viability of the technology companies. The European markets were mixed and the U.S. bourses were down and the Asian markets figure to follow the latter lead.

The JCI finished slightly lower on Wednesday following mixed performances from the financial and cement sectors, while the telecom and resource stocks were up.

For the day, the index eased 9.12 points or 0.11 percent to finish at 8,677.34 after trading between 8,660.75 and 8,729.47.

Among the actives, Bank Mandiri collected 0.50 percent, while Bank Danamon Indonesia and Bank Rakyat Indonesia both jumped 1.63 percent, Bank Negara Indonesia shed 0.68 percent, Bank Central Asia lost 0.62 percent, Indosat Ooredoo Hutchison vaulted 3.78 percent, Indocement expanded 1.49 percent, Semen Indonesia sank 0.72 percent, United Tractors fell 0.36 percent, Energi Mega Persada surged 7.09 percent, Astra Agro Lestari rose 0.34 percent, Aneka Tambang rallied 1.68 percent, Vale Indonesia spiked 2.08 percent, Timah accelerated 2.05 percent and Bumi Resources, Bank CIMB Niaga, Indofood Sukses Makmur and Astra International were unchanged.

The lead from Wall Street is weak as the major averages opened mixed but quickly headed south and spent the balance of the day under water.

The Dow dropped 228.29 points or 0.47 percent to finish at 47,885.97, while the NASDAQ plunged 418.14 points or 1.81 percent to close at 22,693.32 and the S&P 500 sank 78.83 points or 1.16 percent to end at 6,721.43.

The sharp pullback seen as the day progressed came amid renewed weakness among technology stocks, as reflected by the steep drop by the tech-heavy NASDAQ.

Semiconductor stocks turned in some of the market's worst performances on the day, resulting in a 3.8 percent plunge by the Philadelphia Semiconductor Index. Computer hardware stocks and networking stocks also slumped.

On the other hand, energy stocks turned in a strong performance as the price of crude oil rebounds from its lowest levels since early 2021.

The rebound by the price of crude oil comes after U.S. President Donald Trump ordered a blockade of sanctioned oil tankers in Venezuela. West Texas Intermediate crude for January delivery was up $0.70 or 1.3 percent to end at $55.97 per barrel.