(RTTNews) – The Indonesia stock market has finished lower in three straight sessions, dropping more than 120 points or 2.4 percent along the way. The Jakarta Composite Index now sits just beneath the 5,040-point plateau and it’s got another weak lead for Friday’s trade.
The global forecast for the Asian markets is soft on concerns over the economic recovery following the COVID-19 pandemic. The European and U.S. markets were down and the Asian markets are tipped to open in similar fashion.
The JCI finished modestly lower on Thursday following losses from the financial shares, cement companies and resource stocks.
For the day, the index fell 20.08 points or 0.40 percent to finish at 5,038.40 after trading between 5,013.19 and 5,099.58.
Among the actives, Bank Danamon Indonesia tanked 2.16 percent, while Bank Mandiri skidded 1.33 percent, Bank CIMB Niaga plunged 3.12 percent, Bank Negara Indonesia plummeted 3.08 percent, Indosat tumbled 1.84 percent, Indocement lost 3.96 percent, Semen Indonesia dropped 1.06 percent, Indofood Suskes retreated 2.63 percent, Aneka Tambang and Timah both surrendered 2.52 percent, Vale Indonesia sank 1.53 percent and Astra Agro Lestari and Bumi Resources were unchanged.
The lead from Wall Street is negative as stocks opened lower on Thursday and remained in the red all day, extending losses from the previous session.
The Dow lost 130.40 points or 0.47 percent to finish at 27.901.98, while the NASDAQ tumbled 140.19 points or 1.27 percent to end at 10.910.28 and the S&P 500 fell 28.48 points or 0.84 percent to close at 3,357.01.
The weakness on Wall Street continued after the Federal Reserve revealed plans to leave interest rates at near-zero levels for years to come – suggesting the economic recovery will not be as swift as many were hoping.
Complicating matters, U.S. lawmakers remain at an impasse over a new coronavirus stimulus bill for weeks, and the upcoming elections could make reaching a compromise more difficult.
Negative sentiment was generated in reaction to a report from the Labor Department showing first-time claims for U.S. unemployment benefits fell less than expected last week. Also, the Commerce Department said new residential construction pulled back more than expected in August.
Crude oil prices moved higher on Thursday on reports that OPEC and its allies plan to crack down on countries that failed to comply with output cuts. West Texas Intermediate Crude oil futures for October ended up $0.81 or 2 percent at $40.97 a barrel.
A Global Asset Management Seoul Korea Magazine