Jakarta share index down on profit taking<\/p>\n
Dow Jones, Jakarta<\/p>\n
Indonesian shares ended lower on Tuesday led by profit-taking in
\ntelecommunications stocks after recent rallies, according to
\ndealers.<\/p>\n
Market sentiment, however, remains positive with some dealers
\nexpecting a rebound on Wednesday.<\/p>\n
The Jakarta Stock Exchange Composite Index ended down 9.054
\npoints, or 0.8 percent, at 1071.15.<\/p>\n
Decliners led gainers 110 to 27, with 64 stocks unchanged.<\/p>\n
Volume was 1.2 billion valued at Rp 1.1 trillion compared with
\n1.25 billion shares worth Rp 1.6 trillion on Monday.<\/p>\n
\"It's a healthy correction,\" a dealer said. \"I think stocks
\nwill rebound soon as long as the rupiah doesn't fall sharply
\nagain.\"<\/p>\n
The country's largest telephone company Telekomunikasi
\nIndonesia (Telkom) ended down 1.1 percent at Rp 4,600 and its
\nrival Indosat fell 1 percent to Rp 4,800 on profit-taking.<\/p>\n
Bank Mandiri was also hit by profit-taking, edging down 2.3
\npercent to Rp 1,700, while cigarette maker Gudang Garam dropped 4
\npercent to Rp 14,000.<\/p>\n
Dealers expect the market to slowly recover on Wednesday after
\nthe index came off its intraday low of 1067.31 earlier on
\nTuesday.<\/p>\n
On the currency market, the rupiah closed higher on capital
\ninflows to the local stock market.<\/p>\n
The dollar closed at Rp 9,458, down from its close on Monday
\nat Rp 9,480.<\/p>\n
Dealers said foreign investors probably exchanged dollars into
\nthe local unit to settle their recent purchases of local stocks.<\/p>\n
The local stock market ended 0.8 percent lower on Tuesday
\nafter gaining nearly 5 percent since the beginning of the month.<\/p>\n
\"Speculators also sold the dollar today as they didn't see any
\nstrong reason as yet to drive it higher with the central bank
\nremaining resilient in defending the rupiah,\" a dealer with a
\nforeign bank said.<\/p>\n
Bank Indonesia allegedly unloaded dollars via state banks
\nearlier on Tuesday to foil any attempt to push the greenback
\nhigher amid its rise against the yen, dealers said.<\/p>\n
Dealers expect the dollar to trade between Rp 9,550 and Rp
\n9,575 on Wednesday.<\/p>\n
The market will wait to see if the central bank allows the
\nbenchmark weighted rate of its one-month Sertifikat Bank
\nIndonesia notes to rise from 7.81 percent during a weekly auction
\non Wednesday, making the rupiah more attractive.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/jakarta-share-index-down-on-profit-taking-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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