Buy-backs push share prices up in Jakarta

Buy-backs push share prices up in Jakarta

JAKARTA (JP): Supported by strong activities of small-capped
stocks and buy-back of selected blue chips, the Jakarta Stock
Exchange managed to sustain its momentum, closing last week at
496.29, up 3.05 points (0.61 percent) from the week's opening of
493.24.

Heavy selling pressure on blue chips at the beginning of the
week dragged the index to the week's low of 487.80. Many
investors were concerned about the size of the forthcoming
initial public offerings of Tambang Timah and Telkom.

Banking stocks suffered most as investors digested the impact
of the increase in the minimum capital adequacy ratio, which
translates into the need for the rights issue for many of the
listed banks over the next 12 months.

Towards the end of the week, however, the market managed to
gain some lost ground as bargain hunters came in on selected blue
chips with attractive discounts.

In the short term, the market is likely to be less active as
investors cashed out for the listings ahead.

Local players were seen active on speculative issues. The
counters which were actively traded by local players included
Intraco Penta, Pan Brothers, BDNI, Smart Corp, Astra
International, Bimantara, Gangda Wangsa, Dharmala Sakti Sejahtera
and Evershine Textile.

Foreign investors were largely cautious. Counters which saw
active foreign trading includes BDNI, Gadjah Tunggal, BII, Bank
Lippo, Andayani Megah, Inti Indorayon, Semen Gresik and
Indocement.

Average daily turnover on the regular board decreased to 28.8
million shares worth Rp 65.8 billion (US$28.9 million) from 35.8
million shares worth Rp 67.6 billion (US$29.7 million) in the
previous week. Last week's total turnover increased to 189.5
million shares valued at Rp 600.1 billion from 246.7 million
shares valued at Rp 590.4 billion (US$259.5 million) in the
previous week.

The best performers last week were HM Sampoerna (up Rp 1,700),
Zebra Nusantara (up Rp 850), Gudang Garam (up Rp 500), Kalbe
Farma (up Rp 425) and Dankos Labs. (up Rp 400). The biggest
losers were Nipress (down Rp 725), Bank Bali (down Rp 550),
Sucaco (down Rp 525), Ades Alfindo (down Rp 450) and Ultra Jaya
(down Rp 400). Gainers outnumbered losers by 65 to 71, while 26
counters remained unchanged.

-- Sigma Batara