Rally May Stall For Indonesia Stock Market

(RTTNews) - The Indonesia stock market has moved higher in three straight sessions, collecting more than 75 points or 1.1 percent along the way. The Jakarta Composite Index now rests just above the 6,735-point plateau although it may run out of steam on Wednesday.

The global forecast for the Asian markets remains soft on increasing concerns over the Republican-manufactured U.S. debt ceiling confrontation. The European and U.S. markets were down and the Asian bourses figure to follow that lead.

The JCI finished slightly higher on Tuesday following mixed performances from the financial shares and resource stocks.

For the day, the index rose 7.04 points or 0.10 percent to finish at 6,736.68 after trading between 6,727.07 and 6,772.65.

Among the actives, Bank Mandiri tumbled 1.91 percent, while Bank Danamon Indonesia plunged 3.11 percent, Bank Negara Indonesia climbed 1.13 percent, Bank Central Asia strengthened 1.39 percent, Bank Rakyat Indonesia collected 1.38 percent, Indocement plummeted 3.16 percent, Semen Indonesia retreated 1.65 percent, Indofood Suskes improved 0.72 percent, United Tractors spiked 2.62 percent, Energi Mega Persada soared 2.88 percent, Astra Agro Lestari gained 1.35 percent, Aneka Tambang rose 0.26 percent, Vale Indonesia jumped 1.98 percent, Timah shed 0.53 percent, Bumi Resources declined 1.69 percent and Astra International, Bank CIMB Niaga and Indosat Ooredoo Hutchison were unchanged.

The lead from Wall Street suggests consolidation as the major averages opened lower on Tuesday and spent much of the day hugging the line before slumping in the afternoon.

The Dow tumbled 231.07 points or 0.69 percent to finish at 33,055.51, while the NASDAQ sank 160.53 points or 1.26 percent to end at 12,560.25 and the S&P 500 dropped 47.05 points or 1.12 percent to close at 4,145.58.

The markets continue to be weighed by the debt ceiling negotiations. U.S. President Joe Biden and House Speaker Kevin McCarthy said they held productive talks but there was no agreement on how to raise the government's $31.4 trillion debt ceiling.

In economic news, the S&P Global US Composite PMI accelerated to its fastest pace in more than a year, while the Commerce Department said new home sales surprised much higher to the upside.

Crude oil futures advanced on speculation that OPEC might consider another production cut next month, and on a warning from Saudi Arabia's energy minister that oil prices will stop declining. West Texas Intermediate Crude oil futures for July rose $0.86 or 1.2 percent at $72.91 a barrel.