Share prices, rupiah gain ground in active trading<\/p>\n
JAKARTA (JP): After weeks of decreases, share prices surged in
\nactive trading yesterday in line with the bullish sentiment in
\nregional markers.<\/p>\n
Securities and foreign exchange dealers said that the bullish
\nregional market and no news of riots in the country also brought
\nthe rupiah to an intraday high of 12,600 against the U.S. dollar.<\/p>\n
\"It is really a good day. The bullish sentiment overseas,
\ncombined with no reports of fresh unrest at home are really
\nencouraging,\" a dealer said, describing the trading sentiment
\nduring the day.<\/p>\n
Widespread rumors that there will be massive rioting ahead of
\nthe Aug. 17 Independence Day celebrations have negatively
\naffected local financial markets in the past several days.<\/p>\n
Troops were seen closely guarding business centers and other
\npublic places yesterday and no incidents were reported.<\/p>\n
\"The ups and downs of the rupiah over the past few weeks has
\nbeen determined by the social and political climate ... and the
\nabsence of news on riots really boosted the currency,\" the dealer
\nsaid, adding that some Singaporean operators, who have been
\nactive in deflating the rupiah, were not active yesterday.<\/p>\n
The rupiah closed firmer at 12,600\/12,800 to the American
\ndollar yesterday, higher than Thursday's close of 12,950 to the
\ndollar.<\/p>\n
Some state banks were seen selling dollars for rupiah to
\nimprove the rupiah's stand against the dollar, dealers said.<\/p>\n
\"If the state banks sold a substantial amount of U.S. dollars,
\nthe rupiah might have broken the 12,500 level,\" the dealer said,
\npointing out that state banks sold a meager US$10 million
\nyesterday.<\/p>\n
Dealers said the rupiah might continue to rally against the
\nU.S. dollar in coming days provided that no fresh riots take
\nplace in Jakarta or other major cities.<\/p>\n
\"If the rupiah has broken the 12,500 level, it might test
\n12,000 afterward,\" another dealer with a private bank said.<\/p>\n
Taking the rupiah's lead, stock prices on the Jakarta Stock
\nExchange (JSX) ended 2.8 percent higher yesterday as most
\ninvestors, taking advantage of the calm, bought certain selected
\nblue-chip stocks.<\/p>\n
The JSX Composite Index rose 11.68 points to 414.63 yesterday
\non a total trading turnover of 493.42 million shares valued at Rp
\n1.13 trillion changing hands on the regular market.<\/p>\n
Gainers outpaced losers by 70 to 28 with 69 stocks remaining
\nunchanged and 121 untraded.<\/p>\n
Stocks brokers said investors in the local market ignored the
\nrumors of vast unrest which had made most of them nervous over
\nthe past few weeks.<\/p>\n
\"I think people feel comfortable enough as there has been no
\nnews of riots. As a result, investors are putting in large buying
\norders on certain stocks,\" the head of research of Trimegah
\nSecurindo Lestari, David Chang, said.<\/p>\n
Stock brokers said trading activities on the local market were
\nactive because the country had remained relatively calm.<\/p>\n
\"This is good news for some investors, besides some stocks
\nhave been oversold,\" a broker with Mashill Jaya Securities said.<\/p>\n
Some blue-chip stocks ended higher yesterday with instant
\nnoodle Indofood Sukses Makmur rising Rp 125 to Rp 2,150 on 29.59
\nmillion shares, cigarette maker HM Sampoerna rose Rp 300 to Rp
\n2,825 on 18.40 million shares while its competitor Gudang Garam
\nrose Rp 350 to Rp 8,150 on 237,500 shares. Gold and nickel
\nproducer Aneka Tambang rose Rp 175 to Rp 2,275 on 16.95 million
\nshares. (aly)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/share-prices-rupiah-gain-ground-in-active-trading-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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