Dow Jones, Jakarta

Dow Jones, Jakarta

Indonesian shares ended lower Wednesday as investors who were worried that the rupiah would continue to weaken against the dollar, took profit in stocks that gained in the previous two sessions, dealers said.

They said falls in many Asian markets also added to negative sentiment, putting more pressure on investors to sell their shares.

"The market ran out of steam," said a trader with BNI Securities.

The Jakarta Stock Exchange Composite Index ended down 7.190 points, or 0.7%, at 979.220. The main index rose 0.5% Monday and Tuesday.

The rupiah ended at an 11-week low at IDR9,190 to the dollar, compared with IDR9,090 at Tuesday's close as local companies continued to buy the greenback to pay their offshore obligations by the end of the year.

Decliners led gainers 81 to 39, with 98 stocks unchanged.

Volume was 3.9 billion shares valued at IDR2.8 trillion, compared with 1.35 billion shares valued at IDR1.1 trillion Tuesday.

Cigarette maker Hanjaya Mandala Putra was among the decliners, closing down 2.2% at IDR6,650 on profit-taking. Sampoerna's rival Gudang Garam fell 1.1% to IDR13,250.

Profit-taking also hit shares in Bank Negara Indonesia, the nation's third-largest lender, which dropped 3% to IDR1,550, and bellwether Telekomunikasi Indonesia, which shed 1% to IDR5,050.

Shares in Bank Permata plunged 30% to IDR825, after the government Tuesday said it sold a 20% stake in the bank at IDR750 a share, defying investors' expectations that the government would sell shares in the nation's sixth-largest lender at the market price.

Indonesian Satellite, the nation's second-largest telecommunications, and carmaker Astra International, however, maintained their gains on expectations of higher 2004 earnings.

Indosat rose 1.7% to IDR5,850 and Astra International gained 2.6% to IDR9,850.

Dealers said they expect the market Thursday to trade lower on a further price correction.

Elsewhere in Asia, Asian stock markets closed mixed, but Tokyo stocks rebounded following decline in the past two sessions.

Tokyo's Nikkei Stock Average of 225 issues rose 67.37 points, or 0.62 percent, to close at 10,941.37. On Tuesday, the Nikkei shed 108.33 points, or 0.99 percent.

In Hong Kong, stocks fell as investors sold a broad range of blue chips on worries that the listing of a government real estate investment trust may be delayed.

The Hang Seng Index lost 213.46 points, or 1.5 percent, to finish at 14,022.32. On Tuesday, the Hang Seng shed 21.08 points, or 0.14 percent.

Thai shares ended 1.6 percent lower as investors sold banking and telecom stocks. The Stock Exchange of Thailand Index sank 10.42 points to 645.41.

Malaysian shares dipped as speculation that the government might abandon the peg between the U.S. dollar and the Malaysian ringgit dwindled. The weighted Composite Index of 100 blue chips fell 10.11 points, or 1.1 percent, to 902.30.

Philippine shares advanced marginally, after buying in select blue chips outweighed losses by telecom issues. The 30-company Philippine Stock Exchange Index ended up 2.10 points, or 0.1 percent, at 1,801.18.

South Korean shares rose as the U.S. dollar strengthened against the Korean currency, the won, easing concerns over the country's export-dependent economy. The Korea Composite Stock Price Index, or Kospi, added 10.67 points, or 1.2 percent, to 871.74.

Singapore's share prices ended slightly higher as buyers snapped up blue chips early in the session but later took profits, erasing most gains. The Straits Times Index rose 4.40 points, or 0.2 percent, to 2,020.66.

Australian shares slipped on losses by resources issues after the prices of oil, copper and gold fell in the U.S. Tuesday. The S&P/ASX 200 index fell for a second straight day, closing down 29.80 points, or 0.8 percent, to 3,897.70.

Taiwan's shares declined as investors remain cautious ahead of Saturday's legislative elections, with technology stocks among the worst performers. The weighted price index dropped 32.77 points, or 0.6 percent, to 5,892.51.

New Zealand shares declined as investors sold a broad range of blue chips, tracking weakness on Wall Street and in Australia. The NZSX-50 lost 19.74 points, or 0.7 percent, to 2,991.15.