RI shares end lower on weak rupiah, Asian markets
RI shares end lower on weak rupiah, Asian markets
Dow Jones, Jakarta
Indonesian shares ended lower Monday on swift profit-taking, with sentiment hurt by the weak rupiah and losses on most Asian markets, dealers said.
"We ran out of positive factors," said a trader with Paramitra Securities.
The Jakarta Stock Exchange Composite index ended down 4.239 points, or 0.5 percent, at 815.582, down from an intraday high of 822.684. The main index Friday gained 0.4 percent on a rebound.
Decliners led gainers 74 to 34, with stocks unchanged.
Volume was 348 million shares valued at Rp 856 billion (US$93.2 million).
The U.S. dollar was trading higher at Rp 9,180, compared with Rp 9,115 at Friday's close, as local companies are buying the U.S. currency to pay offshore obligations by the end of the month.
Bank blue chips were among the decliners amid renewed concerns that the central bank may raise interest rates to defend the rupiah.
Bank Mandiri fell Rp 25, or 1.7 percent, to Rp 1,450, Bank Central Asia lost Rp 50, or 2.4 percent, to Rp 2,000 and Bank Rakyat Indonesia ended down Rp 25, or 1.3 percent, to Rp 1,900.
Profit-taking also hit shares in Indonesian Satellite Corp., down Rp 50, or 1.2 percent, to Rp 4,250, and cement maker Indocement Tunggal Prakarsa, which fell Rp 25, or 1.3 percent, to Rp 1,975.
Carmaker Astra International bucked the trend, gaining Rp 50, or 0.8 percent, to Rp 6,750 on a rebound.
Dealers said they expect the market Tuesday to trade slightly lower on further profit-taking.
Meanwhile, the rupiah closed lower in choppy trading Monday as local companies bought the dollar to pay maturing month-end offshore obligations, dealers said.
The dollar closed at Rp 9,180, up from its close Friday at Rp 9,115.
Dealers said that bids from local companies pushed the U.S. unit to as high as Rp 9,200 intraday. Some investors, however, sold the dollar after it touched the day's high as underlying sentiment was positive following the smooth conduct of the presidential poll last week.
"The dollar was stuck in a range-bound trading today," a dealer said.
Fears that the bird flu may have mutated and spread among humans in Thailand also supported the dollar, dealers said.
Dealers said that demand from local companies might continue rising till the end of the month, which could push the dollar higher.