Jakarta stocks end higher driven by regional gains
Jakarta stocks end higher driven by regional gains
Dow Jones, Jakarta
Indonesian shares ended higher on Friday led by buying in cement and tobacco blue chips, boosted by gains across Asian markets after Wall Street's rally overnight, dealers said.
"It was, however, a mild buying," said a trader with a local securities firm, adding that lingering rupiah concerns spurred profit-taking, offsetting earlier gains.
The Jakarta Stock Exchange's main index ended up 5.677 points, or 0.8 percent, at 733.990, slightly down from an intraday high of 734.586.
Gainers led decliners 55 to 37, with 73 stocks unchanged.
Volume was 1.1 billion shares valued at Rp 738 billion (US$79.69 million).
Cigarette maker PT Gudang Garam jumped Rp 350, or 2.5 percent, to Rp 14,450 on expectations of higher first half sales.
Cement maker PT Indocement Tunggal Prakarsa climbed Rp 125, or 8.5 percent, to Rp 1,600 on bargain-hunting.
Dealers said investors continued to buy banking blue chips on expectations that the central bank won't increase interest rates.
Heavyweight Bank Mandiri rose Rp 25, or 2 percent, to Rp 1,275 after the bank said its first quarter net profit rose 9.7 percent on year to Rp 1.1 trillion.
Bank Rakyat Indonesia gained Rp 25, or 1.5 percent, to Rp 1,700 after the company said late Thursday its first quarter net profit rose 46 percent on year.
Shares of PT Indonesian Satellite Corp. (Indosat) fell Rp 25, or 0.6 percent, to Rp 3,975 on profit-taking. The stock rose 3.9 percent Thursday.
Profit-taking also hit shares of Bank Central Asia, which declined Rp 25, or 0.6 percent, at Rp 3,700.
Dealers said they expect the market Monday to trade flat to slightly higher on further bargain-hunting.
The rupiah has been under severe pressure during the past couple of weeks due to economic and political concerns. The local unit ended at Rp 2,920, unchanged from its close on Thursday.
Suspected intervention by Bank Indonesia and profit-taking offset dollar demand from companies, dealers said.
Emerging markets have been hurt by capital outflows due to an imminent rate hike in the U.S. But the rupiah, which has lost over 9 percent so far this year, was hit the most among other regional currencies.