Loading disruptions at ports in East and South Kalimantan on the Indonesian side of Borneo island are causing a coal supply shortage in one of the world's most important export regions, causing delays as ships wait to take on new cargoes.(Reuters Photo/Beawiharta)

JCI Continues Five-Day Rally Amid Rising Coal Prices


DECEMBER 05, 2016

Jakarta. Indonesia's benchmark stock index gained for a fifth consecutive day on Monday (05/12), mainly due to rising coal prices.

The Jakarta Composite Index closed 0.42 percent higher at 5,268, following a rise on Friday. There were 165 gainers versus 141 decliners on Monday.

Foreign investors, accounting for 32 percent of the total trade on the day, sold Rp 782.8 billion ($58 million) more in shares than they bought.

Cigarette producer HM Sampoerna led the way, with its share price rising by 1.81 percent to Rp 3,950. The company has Rp 459.46 trillion in market capitalization.

The second-biggest gainer was state-owned Telekomunikasi Indonesia, or Telkom, which saw its share price increase by 1.28 percent to Rp 3,960.

Panin Sekuritas analyst Frederik Rasali said the soaring foreign outflow was part of a year-end trend as investors cash in their gains to spend it on leisure.

However, this was offset by domestic investors who bought Rp 782 billion more in shares than they sold.

Frederik added that an increase in coal prices helped boost commodity prices.

"Indonesia's benchmark thermal coal price [a monthly price set by the Ministry of Energy] rose to $101.69 per metric ton in December," Frederik said.

This represents a 20 percent increase from the previous month.

The rupiah traded at 13,516 against the United States dollar on Monday compared to 13,524 on Friday, according to the Jakarta Inter-Bank Spot Dollar rate, compiled by Bank Indonesia.