The Indonesia stock market has moved lower in two of three trading days since the end of the four-day winning streak in which it had advanced more than 90 points or 1.4 percent. The Jakarta Composite Index now rests just above the 6,680-point plateau and the losses may accelerate on Friday.
The global forecast for the Asian markets is soft with profit taking expected, especially among technology stocks. The European and U.S. markets were down and the Asian markets figure to open in similar fashion.
The JCI finished modestly lower on Thursday following mixed performances from the financials, cement companies and resource stocks.
For the day, the index slipped 23.80 points or 0.35 percent to finish at 6,683.85 after trading between 6,648.08 and 6,730.60.
Among the actives, Bank Danamon Indonesia shed 0.42 percent, while Bank CIMB Niaga lost 0.53 percent, Bank Negara Indonesia skidded 1.02 percent, Bank Central Asia retreated 0.96 percent, Bank Rakyat Indonesia jumped 1.47 percent, Indocement dropped 0.91 percent, Semen Indonesia and Timah both added 0.36 percent, Indofood Suskes gained 0.39 percent, United Tractors fell 0.44 percent, Bakrie Sumatera Plantations skyrocketed 9.26 percent, Astra Agro Lestari sank 0.76 percent, Aneka Tambang soared 3.37 percent, Vale Indonesia declined 0.63 percent, Bumi Resources surged 3.90 percent and Bank Mandiri, Indosat, Energi Mega Persada and Astra International were unchanged.
The lead from Wall Street is broadly negative as the major averages opened sharply lower on Thursday and stayed that way throughout the session, ending a four-day winning streak.
The Dow plunged 518.17 points or 1.45 percent to finish at 35,111.16, while the NASDAQ plummeted 538.73 points or 3.74 percent to end at 13,878.82 and the S&P tumbled 111.94 points or 2.44 percent to close at 4,477.44.
A steep drop by Meta (FB) weighed on the tech sector, with the Facebook parent plunging nearly 27 percent, and hitting its lowest intraday level in well over a year after reporting weaker than expected Q4 earnings and disappointing revenue guidance for the current quarter.
Several other social media stocks, including Snap and Twitter, tumbled as well. Weak earnings updates from other companies like Honeywell (down more than 7 percent) and Spotify (down nearly 17 percent) also weighed on sentiment.
In economic news, the Labor Department noted a modest decrease by first-time claims for U.S. unemployment benefits last week. Also, the Institute for Supply Management noted a continued slowdown in the pace of growth in U.S. service sector activity in January.
Crude oil prices surged on Thursday as concerns about possible supply disruptions outweighed OPEC’s decision to increase crude output in March. Geopolitical concerns in Eastern Europe and the Middle East have raised concerns about supplies. West Texas Intermediate Crude oil futures for March ended higher by $2.01 or 2.3 percent at a seven-year high $90.27 a barrel.
Indonesia Stocks May Take Further Damage On Friday
2022-02-04 02:00:08