RI shares end lower on profit-taking<\/p>\n
Dow Jones, Jakarta<\/p>\n
Indonesian shares ended marginally lower Monday as investors,
\nmostly local retails, took profit in select blue chips that rose
\nin the previous seven sessions, dealers said.<\/p>\n
They said renewed concerns that the rupiah may weaken further,
\nahead of the presidential runoff Sept. 20, also added to negative
\nsentiment.<\/p>\n
"Selling, however, wasn't that heavy," said a trader with a
\nEuropean securities firm.<\/p>\n
The Jakarta Stock Exchange Composite ended down 1.703 points,
\nor 0.2 percent, at 784.787. The main index gained 7.5 percent in
\nthe previous seven sessions.<\/p>\n
Decliners led gainers 62 to 36, with 83 stocks unchanged.<\/p>\n
Volume was 780 million shares valued at Rp 580 billion
\n(US$62.4 million).<\/p>\n
Indonesian Satellite Corp. led the decliners, dropping Rp 75,
\nor 1.7 percent, to Rp 4,250 on profit-taking. The stock jumped
\n6.1 percent in the previous seven sessions.<\/p>\n
Also lower on profit-taking were shares in cigarette maker
\nGudang Garam, which shed Rp 50, or 1.4 percent, to Rp 13,300 and
\nits rival Hanjaya Mandala Sampoerna, which fell Rp 50, or 0.9
\npercent, to Rp 5,450.<\/p>\n
Bank Mandiri maintained its gains on bargain hunting and news
\nthat the bank plans to buy stakes in other regional banks to
\nimprove its performance. The stock rose Rp 25, or 1.9 percent, to
\nRp 1,375.<\/p>\n
Bellwether Telekomunikasi Indonesia rebounded from an earlier
\nlow of Rp 8,050, to end the session unchanged at Rp 8,200.<\/p>\n
Dealers said they expect the market Tuesday to trade slightly
\nlower on further profit-taking.<\/p>\n
Meanwhile, the rupiah weakened but was off intraday lows in
\nquiet, tight-ranged trading, taking direction from the major
\ncurrencies.<\/p>\n
Traders said that the Japanese yen's rise during the day
\nhelped lift the rupiah off the day's low at 9,300 rupiah to the
\ndollar. At the end of the day, the dollar ended at Rp 9,285,
\nslightly up from its close of Rp 9,278 Friday.<\/p>\n
"It's a quiet and cautious market," said a trader with a local
\nstate-owned bank, adding that many players stayed on the
\nsidelines.<\/p>\n
The currency has been trapped in a range with sentiment
\ncautious ahead of the second round of presidential polls Sept.
\n20. Worries that political risks - as the polls near - could
\nrise, pressuring the rupiah, led local companies with offshore
\ndebt to pounce on opportunities to stock up on dollars.<\/p>\n
In the runoff, incumbent Megawati Soekarnoputri will challenge
\nfirst round front-runner Susilo Bambang Yudhoyono, a former
\nsecurity minister.<\/p>\n
Latest surveys show that Yudhoyono will likely emerge the
\nwinner. But the race may be closer than previously expected as
\nMegawati is trying to project a more positive image.<\/p>\n
Many analysts expect the rupiah's movements to remain
\nsensitive to political developments.<\/p>",
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