Indonesia Stock Market Due For Support On Monday

The Indonesia stock market has moved lower in three straight sessions, dropping nearly 150 points or 2 percent along the way. The Jakarta Composite Index now rests just beneath the 7,500-point plateau although it may stop the bleeding on Monday.

The global forecast for the Asian markets is upbeat following the release of strong U.S. employment data. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.

The JCI finished modestly lower on Friday following losses from the financial shares and cement stocks, while the resource companies were mixed.

For the day, the index shed 47.74 points or 0.63 percent to finish at 7,496.09 after trading between 7,467.80 and 7,549.23.

Among the actives, Bank CIMB Niaga dropped 0.80 percent, while Bank Mandiri retreated 1.42 percent, Bank Danamon Indonesia slid 0.38 percent, Bank Negara Indonesia slumped 0.93 percent, Bank Central Asia rose 0.24 percent, Bank Rakyat Indonesia retreated 1.22 percent, Indosat Ooredoo Hutchison improved 0.71 percent, Indocement stumbled 1.44 percent, Semen Indonesia dipped 0.25 percent, Indofood Sukses Makmur lost 0.70 percent, United Tractors perked 0.18 percent, Astra International tumbled 1.90 percent, Energi Mega Persada surged 6.19 percent, Astra Agro Lestari was down 0.24 percent, Aneka Tambang sank 0.65 percent, Jasa Marga fell 0.41 percent, Vale Indonesia shed 0.46 percent, Timah jumped 1.71 percent, Bumi Resources rallied 1.50 percent and Bank Maybank Indonesia was unchanged.

The lead from Wall Street is positive as the major averages opened higher on Friday and remained well in the green throughout the trading day.

The Dow jumped 341.15 points or 0.81 percent to finish at a record 42,352.75, while the NASDAQ rallied 219.35 points or 1.22 percent to end at 18,137.85 and the S&P 500 advanced 51.13 points or 0.90 percent to close at 5,751.

The support on Wall Street came after the Labor Department said non-farm payroll employment jumped by 254,000 jobs in September after rising by an upwardly revised 159,000 jobs in August.

The stronger than expected jobs growth eased concerns about the economic outlook, but dashed hopes of aggressive rate cuts in the coming months.

Following the jobs data, CME Group’s FedWatch Tool is indicating a 91.2% the Fed will lower rates by a quarter point in November and just a 8.8 percent chance of another half point rate cut.

Oil futures settled higher on Friday on concerns about a possible attack on Iran’s oil facilities by Israel, while upbeat U.S. jobs data also supported oil prices. West Texas Intermediate Crude oil futures for November added $0.67 or 0.91 percent at $74.38 a barrel, a five-week high. WTI crude futures gained more than 9 percent in the week.