Indonesia Stock Market Tipped To See Additional Support

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(RTTNews) – The Indonesia stock market has finished higher in three straight sessions, collecting more than 165 points or 2.6 percent along the way. The Jakarta Composite Index now rests just above the 6,625-point plateau and it’s tipped to open in the green again on Friday.

The global forecast for the Asian markets is upbeat on solid earnings news and support from crude oil prices. The European and U.S. markets ended sharply higher and the Asian bourses are also tipped to open in the green.

The JCI finished sharply higher on Thursday following gains from the cement, finance and resource sectors.

For the day, the index jumped 89.21 points or 1.36 percent to finish at 6,626.11 after trading between 6,552.21 and 6,637.40.

Among the actives, Bank Danamon Indonesia climbed 1.42 percent, while Bank CIMB Niaga soared 4.88 percent, Bank Negara Indonesia increased 3.00 percent, Bank Central Asia jumped 2.99 percent, Bank Mandiri collected 1.06 percent, Bank Rakyat Indonesia sank 0.70 percent, Indosat rallied 2.87 percent, Indocement surged 5.26 percent, Semen Indonesia skyrocketed 7.53 percent, Indofood Suskes advanced 1.11 percent, United Tractors tanked 2.00 percent, Astra International dropped 0.80 percent, Astra Agro Lestari added 0.48 percent, Aneka Tambang spiked 3.42 percent, Vale Indonesia accelerated 3.24 percent, Timah improved 3.02 percent and Bumi Resources gathered 1.15 percent.

The lead from Wall Street is broadly positive as the major averages opened higher on Thursday and stayed comfortably in the green throughout the session.

The Dow surged 534.75 points or 1.56 percent to finish at 34,912.56, while the NASDAQ spiked 251.79 points or 1.73 percent to close at 14,823.43 and the S&P 500 jumped 74.45 points or 1.71 percent to end at 4,438.26.

The rally on Wall Street came as traders reacted positively to a batch of largely upbeat earnings news from several big-name companies, including UnitedHealth (UNH), Bank of America (BAC) and Morgan Stanley (MS).

Adding to the positive sentiment, the Labor Department said that first-time claims for U.S. unemployment benefits dropped below 300,000 for the first time in well over a year last week.

Crude oil futures settled higher Thursday as the International Energy Agency (IEA) lifted its global oil demand forecast. West Texas Intermediate Crude oil futures for November rose $0.87 or 1.1 percent at $81.31 a barrel, the highest level since October 2014.

Closer to home, Indonesia will release September numbers for imports, exports and trade balance later today. Imports are expected to surge 50 percent on year, down from 55.26 percent in August. Exports are called higher by an annual 51.57 percent, slowing from 64.1 percent in the previous month. The trade surplus is pegged at $3.84 billion, down from $4.74 billion a month earlier.

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