Rebound Predicted For Indonesia Stock Market

(RTTNews) - The Indonesia stock market turned lower again on Monday, one session after ending 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 beneath the 7,010-point plateau although it's expected to find renewed support on Tuesday.

The global forecast for the Asian markets is upbeat, supported by bargain hunting, rising oil prices and falling treasury yields. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.

The JCI finished modestly lower on Monday following losses from the cement companies and mixed performances from the financials and resource stocks.

For the day, the index fell 31.08 points or 0.44 percent to finish at 7,009.72.

Among the actives, Bank Danamon Indonesia jumped 1.97 percent, while Bank CIMB Niaga lost 0.47 percent, Bank Negara Indonesia dropped 0.84 percent, Bank Central Asia shed 0.58 percent, Bank Mandiri retreated 1.59 percent, Bank Rakyat Indonesia collected 0.89 percent, Indosat Ooredoo Hutchison rallied 2.07 percent, Indocement skidded 1.05 percent, Semen Indonesia fell 0.33 percent, United Tractors added 0.53 percent, Energi Mega Persada surged 5.47 percent, Aneka Tambang tanked 2.58 percent, Vale Indonesia plunged 3.52 percent, Timah spiked 2.62 percent, Bumi Resources soared 3.65 percent and Astra International, Astra Agro Lestari and Indofood Suskes were unchanged.

The lead from Wall Street is broadly positive as the major averages opened higher on Monday and accelerated as the session progressed, ending near daily highs.

The Dow surged 765.38 points or 2.66 percent to finish at 29,490.89, while the NASDAQ soared 239.82 points or 2.27 percent to end at 10,815.43 and the S&P 500 jumped 92.81 points or 2.59 percent to close at 3,678.43.

The rally on Wall Street was largely due to hectic bargain hunting after recent sharp losses. Data showing that U.S. manufacturing activity slowed to its weakest pace in 30 months also helped ease concerns about aggressive monetary tightening by the Federal Reserve.

Also boosting stocks, the U.S. 10-year Treasury yield fell after British Prime Minister Liz Truss was forced to reverse course on a tax cut for the highest rate.

Crude oil prices rose sharply on Monday amid speculation that OPEC will discuss cutting crude output at their upcoming meeting on Wednesday. West Texas Intermediate Crude oil futures for November ended higher by $4.14 or 5.2 percent at $83.63 a barrel.