Indonesia Stock Market May Extend Wednesday’s Gains

The Indonesia stock market bounced higher again on Wednesday, one session after snapping 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 6,700-point plateau and it’s tipped to open in the green again on Thursday.

The global forecast for the Asian markets remains upbeat following brutal losses last week, with oil and technology stocks expected to lead the way higher. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to follow the latter lead.

The JCI finished sharply higher on Wednesday following gains from the financial shares, resource stocks and cement companies.

For the day, the index climbed 76.50 points or 1.15 percent to finish at 6,707.65 after trading between 6,650.30 and 6,716.60.

Among the actives, Bank Danamon Indonesia fell 0.42 percent, while Bank Negara Indonesia collected 0.68 percent, Bank Central Asia spiked 2.30 percent, Indosat shed 0.44 percent, Indocement added 0.46 percent, Semen Indonesia rallied 2.23 percent, Indofood Suskes climbed 1.19 percent, United Tractors dropped 0.86 percent, Astra International increased 0.46 percent, Bakrie Sumatera Plantations plunged 3.57 percent, Astra Agro Lestari lost 0.51 percent, Aneka Tambang gained 0.56 percent, Vale Indonesia rose 0.42 percent, Timah improved 1.09 percent, Bumi Resources jumped 1.32 percent and Bank CIMB Niaga, Bank Mandiri, Bank Rakyat Indonesia and Energi Mega Persada were unchanged.

The lead from Wall Street is positive as the major averages shook off some early weakness on Wednesday before moving firmly higher for the fourth straight session.

The Dow jumped 224.09 points or 0.63 percent to finish at 35,629.33, while the NASDAQ advanced 71.54 points or 0.50 percent to close at 14,417.55 and the S&P 500 spiked 42.84 points or 0.94 percent to end at 4,589.38.

The continued strength on Wall Street reflected a positive reaction to upbeat earnings from some big-name companies like Google parent Alphabet (GOOGL) and chipmaker Advanced Micro Devices (AMD).

Traders also reacted to a report from payroll processor ADP that showed an unexpectedly sharp pullback in U.S. private sector employment last month. On Friday, the Labor Department will release its more closely watched monthly jobs report, which includes both public and private sector jobs.

Crude oil futures inched higher Wednesday, supported by data showing a drop in U.S. crude stockpiles last week. However, the rise was just marginal as OPEC and its allies approved another 400,000 barrels per day in production that will begin in March. West Texas Intermediate Crude oil futures for March ended up by $0.06 or 0.1 percent at $88.26 a barrel.