Shares end up at record high on earning hopes<\/p>\n
Dow Jones, Jakarta<\/p>\n
Indonesian shares ended higher on Tuesday, with further gains in
\ncigarette and telecommunication blue chips on hopes of robust
\n2004 earnings pushing the main index to a record closing high,
\ndealers said.<\/p>\n
They also added that investors bought shares on expectations
\nthat those companies with solid earnings will pay out a higher
\n2004 dividend.<\/p>\n
\"If buying continues, the main index may test solid resistance
\nat 1,080 later this week,\" said an analyst with a foreign
\nsecurities firm.<\/p>\n
The Jakarta Stock Exchange Composite Index ended up 16.467
\npoints, or 1.6 percent, at 1,067.20.<\/p>\n
Gainers led decliners 62 to 35, with 64 stocks unchanged.<\/p>\n
Volume was 2.2 billion shares valued at Rp 1.78 billion,
\ncompared with 1.5 billion shares valued at Rp 1.6 trillion on
\nMonday.<\/p>\n
Hanjaya Mandala Sampoerna, the nation's third-largest
\ncigarette producer, jumped 9.4 percent to Rp 8,150 on
\nexpectations of higher 2004 net profit after the company reported
\nthat 2004 sales rose 15 percent on year.<\/p>\n
Sampoerna's rival Gudang Garam rose 1.2 percent to Rp 16,750.<\/p>\n
Bellwether Telekomunikasi Indonesia gained 2.2 percent to Rp
\n4,750 and carmaker Astra International rose 3.5 percent to Rp
\n10,400.<\/p>\n
These companies are expected to announce their 2004 earnings
\nlater this month or in early March.<\/p>\n
Dealers said they expect the market to trade higher on
\nWednesday on follow-through buying in many blue chips.<\/p>\n
Meanwhile, the rupiah ended lower as local banks bought the
\ndollar on expectations of gains in the U.S. unit after U.S.
\nFederal Reserve Chairman Alan Greenspan delivers semiannual
\ntestimony to Congress on Wednesday and Thursday, dealers said.<\/p>\n
The dollar closed at Rp 9,275, up from Monday's close at Rp
\n9,242.<\/p>\n
\"We bought the dollar on the expectation Greenspan will make
\npositive comments about the U.S. economy that will boost the
\ndollar,\" a dealer with a local bank said.<\/p>\n
A dealer with a European bank in Jakarta said some foreign
\ninvestors also bought the greenback, likely to hedge their
\nderivative transactions.<\/p>\n
Dealers expect the dollar to trade between Rp 9,250 and Rp
\n9,290 on Wednesday.<\/p>\n
The local currency market will also be keen to see data on
\nIndonesia's gross domestic product, due on Wednesday.<\/p>\n
An average estimate by six economists polled by Dow Jones put
\nIndonesia's economic growth at 5.1 percent on year in the
\nOctober-December period, accelerating slightly from 5.0 percent
\nin the third quarter.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/shares-end-up-at-record-high-on-earning-hopes-1447893297",
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"sponsor": "Okusi Associates",
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