Jakarta shares extend their rally<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
Jakarta shares extended their rally on Thursday to two days as
\nforeign and local investors purchased cheap stocks whose prices
\nhad been battered by the Marriott hotel bombing incident earlier
\nin the week, dealers said.<\/p>\n
The main Jakarta Composite Index rose by 2.8 percent to
\n508.27, higher than Monday's close of 503.94, a day before the
\nterror attack occurred. The index dropped by 3.1 percent to
\n488.53 on Tuesday.<\/p>\n
Comments from senior economics ministers that the bombing
\nwould not hurt the country's economic recovery encouraged bargain
\nhunters to purchase blue chips.<\/p>\n
Coordinating Minister for the Economy Dorodjatun Kuntjoro-
\nJakti, Minister of Industry and Trade Rini Soewandi and State
\nMinister of Culture and Tourism I Gde Ardika visited the Jakarta
\nStock Exchange on Thursday morning at the start of trading in a
\ncampaign to help calm nervous investors.<\/p>\n
\"The death sentence handed down (by the court on Thursday) to
\nAmrozi was also welcomed by the market,\" said one dealer.<\/p>\n
Amrozi has been held responsible for last year's Bali bombing,
\nwhich killed more than 200 people, mostly foreign tourists.<\/p>\n
The rupiah also closed stronger against the dollar for the
\nsecond straight day as calm began to return to the market. The
\nlocal unit closed at Rp 8,590, compared with 8,600 the day
\nbefore.<\/p>\n
Foreigners were seen as net buyers, indicating that many are
\nstill confident about investing in Indonesia.<\/p>\n
Gainers led decliners 128 to 21, with 59 stocks unchanged.
\nVolume was 1.8 billion shares valued at Rp 1.1 trillion
\n(US$132.53 million).<\/p>\n
State-owned telecommunications company PT Telkom and car maker
\nPT Astra International were among the top gainers, respectively
\nadvancing by 4.1 percent to Rp 4,425 and 6.2 percent to Rp 3,875.<\/p>\n
Investors were also seen aggressively buying shares in second-
\nline property companies on expectation that they would book
\nhigher sales after a recent fall in interest rates.<\/p>\n
But one dealer warned that the relatively strong rally in the
\nstock market was not a \"genuine trend\" as overall sentiment
\nremained weak, also affected by the regional market decline.<\/p>\n
He pointed out that most of the active investors during the
\nday's trading were bargain hunters, not long-term investors.<\/p>\n
He expected the market would be cautious on Friday as
\ninvestors normally took profit ahead of the weekend.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/jakarta-shares-extend-their-rally-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}