Shares end at new high on Wall Street gains<\/p>\n
Dow Jones,
\nJakarta<\/p>\n
Indonesian shares closed at a fresh record high in volatile
\ntrading on Friday as Wall Street's gains overnight spurred buying
\nof select local blue chips, dealers said.<\/p>\n
Quick profit-taking, however, erased some of the gains and
\neven sent the main index into negative territory in the morning
\nsession, before recovering later in the day.<\/p>\n
The Jakarta Stock Exchange Composite ended up 5.303 points, or
\n0.6 percent, at 893.639.<\/p>\n
The main index touched an intraday high of 895.096 and an
\nintraday low of 884.570. Gainers led decliners 67 to 56, while 82
\nstocks closed unchanged. Volume was exceptionally high at 1.4
\ntrillion shares, helped by the transfer of a 10 percent stake in
\nBank Danamon by the government to investors who bought the shares
\nfor Rp 1.7 trillion.<\/p>\n
The Bank Danamon deal also helped boost the overall trading
\nvalue to Rp 2.8 trillion rupiah.<\/p>\n
In the U.S., the Nasdaq Composite Index rose 1 percent and the
\nDow Jones Industrial Average advanced 1.8 percent overnight.<\/p>\n
Shares in Bank Danamon rose 2.8 percent to Rp 3,675 following
\nthe sale.<\/p>\n
Bellwether Telkom gained 1.1 percent to Rp 4,650, while its
\nsmaller rival Indonesian Satellite edged up 1.0 percent to Rp
\n5,250.<\/p>\n
Astra International, which makes cars and motorbikes with
\nJapanese partners, rose 3.8 percent to Rp 8,150 on news it got
\n$170 million and Rp 600 billion in dual-currency loans Friday
\nfrom foreign and local lenders.<\/p>\n
Gold and nickel miner Aneka Tambang rose 6.7 percent to Rp
\n1,600 thanks to strong global metal prices, dealers said.<\/p>\n
Dealers expect the local bourse to continue rising next week
\ntoward the psychologically important 900 points level.<\/p>\n
Meanwhile, the rupiah ended higher on capital inflows linked
\nto the sale of a government stake in Bank Danamon, dealers said.<\/p>\n
The dollar ended at Rp 9,065, down from its close Thursday at
\n9,085.<\/p>\n
The sale of Danamon, the country's fifth-largest lender,
\nraised around US$187 million to help finance the budget. Half of
\nthe stake was sold to foreign investors via private placement,
\nwhich attracted strong interest.<\/p>\n
The rupiah was also helped by poor dollar sentiment around the
\nworld amid continued concern over the U.S.'s massive trade and
\nbudget deficits, dealers said.<\/p>\n
Dollar demand from local importers, however, slowed the
\ngreenback's fall against the Indonesian currency.<\/p>\n
\"Local importers took advantage of the dollar's weakness to
\naccumulate the currency,\" a dealer said.<\/p>\n
Imports are expected to rise ahead of the year-end holiday
\nfestivities.<\/p>\n
Dealers said the dollar will likely trade between 9,050 and
\n9,100 Monday.<\/p>",
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"sponsor": "Okusi Associates",
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