Shares end mixed on profit-taking

Shares end mixed on profit-taking

Dow Jones, Jakarta

Shares ended mixed on Thursday, with further profit-taking in
telecommunications company PT Telkom keeping the main index in
negative territory, dealers said.

Overall sentiment was weak with many investors moving to the
sidelines following losses on Wall Street overnight after the
Organization of Petroleum Exporting Countries (OPEC) decided to
cut its oil production ceiling.

"It's a healthy correction after Wednesday's gains," said a
trader with a local brokerage firm. The main index rose 2.9
percent to hit a 43-month closing high on Wednesday.

The Jakarta Stock Exchange Composite index ended down 0.3
percent, or 1.915 points, at 603.708, up from an intra-day low of
598.604.

But, gainers led decliners 68 to 60, with 86 stocks unchanged.

Volume was 1.9 billion shares traded valued at Rp 871 billion
rupiah.

On Wednesday, the Dow Jones Industrial Average fell 1.6
percent, while the Nasdaq dropped 3.1 percent.

Bellwether Telkom fell 5 percent, or Rp 300, to Rp 5,700, on
profit-taking after gaining 9.1 percent on Wednesday.

Profit-taking also hit retail company PT Ramayana Lestari
Sentosa which lost 1.3 percent, or Rp 50, to Rp 3,950.

Shares in oil producer Medco Energi ended up 3.9 percent, or
Rp 50, to Rp 1,325, on expectations of higher revenue from higher
oil prices after OPEC decided to cut its crude output ceiling by
900,000 barrels a day.

Dealers said a slew of foreign investors bought other select
blue chips, preventing the main index from falling further.

Cigarette maker PT Gudang Garam rose 3.6 percent, or Rp 400,
to Rp 11,500, and its rival PT Hanjaya Mandala Sampoerna 0.5
percent, or Rp 25, to Rp 4,675.

Car maker PT Astra International rose 2.9 percent, or Rp 125,
to Rp 4,500, on bargain hunting and expectations of higher car
sales this year.

Dealers said they expect the market to trade flat or slightly
lower on Friday on further profit-taking in telecommunications
blue chips.

Meanwhile, the rupiah closed unchanged on Thursday as dollar
demand from local companies was offset by capital inflows into
the local stock market, dealers said.

The local unit closed at Rp 8,440 per dollar, after trading
between 8,435 and 8,460.

Demand for the dollars is usually heavy in the run-up to the
end of the month when local companies pay their offshore
obligations.

But foreigners' stock buying that buoyed the local share
market to a 43-month high on Wednesday also unleashed a flood of
dollars into Indonesia.