JCI Up as Foreign Selling Pressure Eases
BY :ARIENTHA PRIMANITA
JANUARY 07, 2015
Jakarta. Indonesian stocks rose on Wednesday, following two days of decline, as selling pressure from foreign investors dissipated.
The Jakarta Composite Index gained 38.06 points, or 0.74 percent, to 5,207.12, regaining some of the 1.4 percent loss from Monday and Tuesday trading.
More than 8.3 billion shares valued at a combined Rp 5.7 trillion ($449 million) changed hands on Wednesday on the Indonesia Stock Exchange (IDX).
Foreign investors sold just Rp 3 billion more in shares than they bought, in sharp contrast to the Rp 440 billion in net sales posted a day earlier.
“This shows foreign investors still feel optimistic with our political and economic situation amid the declining global and regional economy,” analyst William Suryawijaya of Indosurya Securities told the Jakarta Globe on Wednesday.
The government, he said, also plays a part in promptly implementing responsible policy responses to the global economic environment, such as the termination of the nation’s gasoline subsidy scheme on Jan. 1 following the plunge in globe crude prices.
The IDX index of 54 property, real estate and construction stocks led the market with a 2.1 percent gain. Property giant Agung Podomoro Land’s shares jumped 17 percent to Rp 419.
Muara Wisesa Samudera, a unit of Agung Podomoro Land, announced it had acquired a permit for its land reclamation project off the shore of Pluit, North Jakarta, the company said in a filing to the bourse.
Shares in state-controlled Bank Rakyat Indonesia gained 2.2 percent to Rp 11,775. The bank now has the fourth-biggest market capitalization after Bank Central Asia, cigarette maker HM Sampoerna and automotive conglomerate Astra International.
The rupiah weakened by 0.58 percent to trade at 12,732 against the US dollar on Wednesday, compared to 12,658 on Tuesday, according to Bank Indonesia’s fixing rate.
The government’s 10-year bond yield fell slightly to 8.0278 percent from 8.0569 percent, data from the Indonesia Bond Pricing Agency showed.