Win Streak May Continue For Indonesia Stock Market

(RTTNews) - The Indonesia stock market has finished higher in two straight sessions, gathering almost 110 points or 1.7 percent along the way. The Jakarta Composite Index now rests just beneath the 7,050-point plateau and it's expected to open higher again on Wednesday.

The global forecast for the Asian markets is upbeat, with oil, telecom and technology stocks expected to lead the way. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.

The JCI finished modestly higher on Tuesday following gains from the resource stocks and cement companies, while the financials were mixed.

For the day, the index gained 67.69 points or 0.97 percent to finish at 7,044.07 after trading between 6,967.62 and 7,049.91.

Among the actives, Bank CIMB Niaga collected 0.50 percent, while Bank Negara Indonesia jumped 4.00 percent, Bank Central Asia rose 0.33 percent, Bank Rakyat Indonesia shed 0.45 percent, Indosat surged 6.40 percent, Indocement spiked 2.17 percent, Semen Indonesia improved 0.70 percent, Indofood Suskes fell 0.36 percent, United Tractors added 0.52 percent, Astra International skidded 1.08 percent, Astra Agro Lestari rallied 2.33 percent, Aneka Tambang soared 3.86 percent, Vale Indonesia skyrocketed 6.02 percent, Timah accelerated 2.97 percent, Bumi Resources tanked 2.78 percent and Bank Danamon Indonesia, Bank Mandiri, Energi Mega Persada and Bakrie Sumatera Plantations were unchanged.

The lead from Wall Street is broadly positive as the major averages opened higher on Tuesday and remained solidly in the green throughout the day, closing near session highs.

The Dow surged 641.47 points or 2.15 percent to finish at 30,530.25, while the NASDAQ spiked 270.95 points or 2.51 percent to end at 11,069.30 and the S&P 500 jumped 89.95 points or 2.45 percent to close at 3,764.79.

The rally on Wall Street came as traders picked up stocks at reduced levels following recent weakness in the markets. Bargain hunting also contributed to strength in the overseas markets that carried over onto Wall Street early in the day.

In economic news, the National Association of Realtors noted another steep drop in U.S. existing home sales in May.

Crude oil prices bounced higher again Tuesday, recovering from the selloff in the previous session that was fueled by recession concerns. West Texas intermediate for August delivery jumped $1.53 or 1.4 percent to $109.52 a barrel.