Indonesia Bourse May Test Resistance At 6,300 Points

Ahead of Thursday’s holiday for Isra and Mi’raj, the Indonesia stock market had halted the four-day losing streak in which it had fallen nearly 180 points or 2.9 percent. The Jakarta Composite Index now sits just shy of the 6,265-point plateau and it’s expected to see additional strength again on Friday.

The global forecast for the Asian markets is upbeat, with support expected from the oil and technology stocks. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.

The JCI finished sharply higher on Wednesday following gains from the financial shares and cement stocks, while the resource stocks and telecoms were mixed.

For the day, the index climbed 65.03 points or 1.05 percent to finish at 6,264.68 after trading between 6,225.46 and 6,276.16.

Among the actives, Bank Danamon Indonesia collected 0.32 percent, while Bank CIMB Niaga added 0.45 percent, Bank Negara Indonesia gathered 1.26 percent, Bank Central Asia jumped 1.51 percent, Bank Mandiri climbed 1.17 percent, Bank Rakyat Indonesia perked 1.09 percent, Indosat tanked 2.68 percent, Telkom Indonesia soared 3.34 percent, Indocement gained 0.38 percent, Semen Indonesia rallied 2.73 percent, Indofood Suskes spiked 3.23 percent, United Tractors plunged 5.88 percent, Astra International decline 1.81 percent, Astra Agro Lestari retreated 1.12 percent, Vale Indonesia shed 0.44 percent, Timah advanced 1.14 percent and Bumi Resources and Aneka Tambang were unchanged.

The lead from Wall Street is broadly positive as stocks opened higher and picked up steam as the day progressed, with the Dow and S&P hitting fresh record closing highs.

The Dow jumped 188.57 points or 0.58 percent to finish at 32,485.59, while the NASDAQ surged 329.84 points or 2.52 percent to end at 13,398.67 and the S&P 500 spiked 40.53 points or 1.04 percent to close at 3,939.34.

Technology stocks helped lead the way higher amid continued bargain hunting, which led to the NASDAQ’s biggest single-day gain since last November on Tuesday.

The markets also benefited from optimism about the impact of more fiscal stimulus after the House passed a $1.9 trillion relief package, which President Joe Biden has signed into law.

Buying interest may also have been generated by a report from the Labor Department showing first-time claims for U.S. unemployment benefits fell to a four-month low last week.

Crude oil futures moved sharply higher on Thursday, extending the rebound seen in the previous session amid optimism about the outlook for energy demand. West Texas Intermediate jumped $1.58 or 2.45 percent to $66.02 per barrel.