Tue, 08 Mar 2005


JSX rises third day; led by palm oil stocks

Bloomberg, Jakarta

Indonesia's benchmark stock index rose for a third day. Palm- oil producers PT Astra Agro Lestari and PT Perusahaan Perkebunan London Sumatra Indonesia advanced as the price of the commodity climbed for the first day in three.

The Jakarta Composite Index climbed 2.29, or 0.2 percent, to a record 1105.30 at the 4 p.m. local time close. Declining stocks about matched gainers.

Astra Agro Lestari, the country's biggest publicly traded agricultural company, jumped Rp 100, or 3.2 percent, to 3,200, the highest since Dec. 21. London Sumatra, the exchange's No. 2 agricultural company, climbed Rp 40, or 2.5 percent, to 1,620.

Palm oil for May delivery rose 2.7 percent to 1,425 ringgit (US$375) a metric ton, ending a two-day decline, as of 5:14 p.m. on the Malaysian Derivative Exchange. Malaysia is the world's biggest producer of palm-oil, which is processed into cooking oil and margarine, and chemicals used in soap.

About 1.68 billion shares worth Rp 1.53 trillion ($164 million) changed hands, 24 percent more than the six-month daily average value of Rp 1.23 trillion.

The following stocks also rose or fell. Stock symbols are in parentheses after company names.

PT Aneka Tambang (ANTM IJ), a gold and nickel miner, gained Rp 25, or 1 percent, to 2,450 after Mandiri Sekuritas rated the stock a "buy".

"The company remains upbeat on nickel prices after evidence of tight supply in the market," analyst Adi Hartadi said in a note to clients today after meeting company officials. He raised the recommendation on the stock to "buy" from "neutral," with a share-price forecast of Rp 3,100.PT Bank Rakyat Indonesia (BBRI IJ), the fourth-largest lender, advanced Rp 125, or 3.9 percent, to 3,300. Bank Rakyat had set aside Rp 3.5 trillion to buy state- owned lender PT Bank Tabungan Negara, Investor Daily Indonesia reported, citing a study conducted by Bank Rakyat.

"The acquisition will boost Bank Rakyat's performance," said Prayogo Triyono, an analyst at PT Henan Putihrai Sekuritas in Jakarta.

PT Energi Mega Persada (ENRG IJ), the exchange's No. 2 oil company, slid Rp 10, or 1.2 percent, to 830. Crude oil for April delivery fell 0.6 percent to $53.48 a barrel, in after- hours electronic trading on the New York Mercantile Exchange at 9:02 a.m. London time.

PT H.M. Sampoerna (HMSP IJ), the exchange's No. 2 cigarette maker, fell Rp 250, or 2.8 percent, to 8,600 as investors judged its 9.9 percent gain in the previous two sessions excessive.

PT Indofood Sukses Makmur (INDF IJ), the world's biggest instant-noodle maker, fell Rp 20, or 1.9 percent, to 1,010. Indofood's net income declined 37 percent to Rp 378.1 billion in 2004 from Rp 603.5 billion a year earlier, partly on foreign- exchange losses, Jakarta-based Indofood said in a statement on March 5. Sales rose 0.3 percent to Rp 17.92 trillion.

"The net income and sales figures came below expectations," said Pang Tek Djen, an analyst at PT Sucorinvest Central Gani, in a note to clients today.