Shares end slightly lower, dragged down by Astra, BCA

Shares end slightly lower, dragged down by Astra, BCA

Dow Jones, Jakarta

Indonesian shares ended slightly lower on Monday, with falls in
automotive company Astra International and Bank Central Asia
weighing on the main index, dealers said.

They said overall sentiment was weak, hurt by lingering
worries that the central bank may continue to raise its key
interest rate to defend the falling rupiah.

The dollar was trading at Rp 9,855, up from its previous close
of Rp 9,770 on Friday as local companies continued to buy the
dollar to repay their foreign debt.

"The market ran out of steam after Friday's 1.5 percent gain,"
said a trader with a state-owned securities firm.

The Jakarta Stock Exchange's Composite Index ended down 0.106
point at 1138.882.

Decliners led gainers 69 to 42, with 62 stocks unchanged.
Volume was 1.1 billion shares valued at Rp 976 billion, compared
with 894 million shares valued at Rp 761 billion on Thursday.

Astra International dropped 1.5 percent to Rp 12,800 on profit
taking after a 2.4 percent gain on Friday and on worries that
higher interest rates could prevent people from buying cars
through bank loans.

Bank Central Asia, the nation's second largest lender by
assets, lost 2.1 percent to Rp 3,575 on expectations that higher
interest rates could reduce its net interest margins.

Also lower were shares in nickel miner International Nickel
Indonesia, which lost 1 percent to Rp 14,450 on profit taking
after gains on Friday.

Dealers said shares in Bank Lippo ended up 3.3 percent at Rp
1,250 on news that consortium Swissasia Global, which owns a 52
percent stake in Bank Lippo, has named Merrill Lynch financial
adviser for the stake sale of the bank.

Dealers said they expect shares to trade flat to slightly
lower on Tuesday on further profit taking in Astra International.