Indonesia Stock Market May Take Further Damage On Tuesday

(RTTNews) - The Indonesia stock market on Monday snapped the two-day winning streak in which it had gathered almost 60 points or 0.8 percent. The Jakarta Composite Index now rests just above the 7,015-point plateau and the losses may accelerate on Tuesday.

The global forecast for the Asian markets is mixed to lower, with support from oil stocks likely to offset weakness from technology shares. The European markets were mixed and the U.S. bourses were down and the Asian markets figure to split the difference.

The JCI finished modestly lower on Monday following losses from the cement companies and mixed performances from the financials and resource stocks.

For the day, the index slipped 26.88 points or 0.38 percent to finish at 7,016.06.

Among the actives, Bank Danamon Indonesia shed 0.42 percent, while Bank CIMB Niaga climbed 1.00 percent, Bank Negara Indonesia declined 1.23 percent, Bank Central Asia tumbled 1.67 percent, Bank Mandiri dropped 0.90 percent, Bank Rakyat Indonesia weakened 1.38 percent, Indocement and United Tractors both dipped 0.26 percent, Semen Indonesia plunged 3.93 percent, Indofood Suskes jumped 1.77 percent, Astra International lost 0.37 percent, Energi Mega Persada retreated 1.59 percent, Bakrie Sumatera Plantations slumped 0.81 percent, Astra Agro Lestari sank 0.77 percent, Aneka Tambang cratered 4.06 percent, Vale Indonesia plummeted 6.35 percent, Bumi Resources strengthened 1.52 percent and Indosat and Timah were unchanged.

The lead from Wall Street is negative as the major averages quickly headed south on Monday, rebounded midday and then turned modestly lower again into the close.

The Dow sank 62.42 points or 0.20 percent to finish at 31,438.26, while the NASDAQ shed 83.07 points or 0.72 percent to end at 11,524.55 and the S&P 500 dipped 11.63 points or 0.30 percent to close at 3,900.11.

The volatility came as investors stayed cautious, reassessing the expected path of Federal Reserve interest rate hikes amid falling inflation expectations.

In economic news, the Commerce Department said new orders for U.S. manufactured durable goods increased more than expected in May. Also, the National Association of Realtors noted an unexpected rebound in pending home sales in May.

Oil futures settled higher on Monday, extending gains from the previous session amid slightly easing worries about outlook for energy demand. West Texas Intermediate Crude oil futures for August ended higher by $1.95 or 1.8 percent at $109.57 a barrel.