Indonesia Bourse Tipped To Open In The Green

The Indonesia stock market on Wednesday snapped the two-day slide in which it had dropped almost 80 points or 1 percent. The Jakarta Composite Index now sits just above the 8,310-point plateau and it’s called higher again on Thursday.

The global forecast for the Asian markets is positive, supported by technology and oil stocks. The European and US. Markets were up and the Asian bourses are expected to follow that lead.

The JCI finished sharply higher on Wednesday following gains from the financial shares and resource stocks, while the cement companies were soft.

For the day, the index jumped 97.96 points or 1.19 percent to finish at the daily high of 8,310.23 after trading as low as 8,227.45.

Among the actives, Bank CIMB Niaga rose 0.27 percent, while Bank Mandiri spiked 3.94 percent, Bank Danamon Indonesia jumped 1.92 percent, Bank Negara Indonesia perked 0.22 percent, Bank Central Asia climbed 1.04 percent, Bank Rakyat Indonesia collected 1.32 percent, Indosat Ooredoo Hutchison added 0.45 percent, Indocement retreated 1.49 percent, Semen Indonesia tumbled 1.99 percent, Indofood Sukses Makmur improved 1.12 percent, United Tractors vaulted 1.96 percent, Astra International accelerated 0.75 percent, Energi Mega Persada gathered 0.33 percent, Astra Agro Lestari advanced 1.00 percent, Vale Indonesia stumbled 1.79 percent, Timah tanked 2.47 percent, Bumi Resources plunged 2.74 percent and Aneka Tambang was unchanged.

The lead from Wall Street is upbeat as the major averages opened higher on Wednesday, slumped later in the day but still moved solidly back to the upside by the close.

The Dow gained 129.47 points or 0.26 percent to finish at 49,662.66, while the NASDAQ jumped 175.25 points or 0.78 percent to close at 22,753.63 and the S&P 500 added 38.09 points or 0.56 percent to end at 6,881.31.

The early strength on Wall Street came as shares of Nvidia (NVDA) surged after the AI chipmaker announced a multi-year, multi-generational strategic partnership with Facebook parent Meta (META) spanning on-premises, cloud and AI infrastructure.

Positive sentiment was also generated some upbeat U.S. economic data, including a Federal Reserve report showing industrial production increased more than expected in January.

However, stocks pulled back off their highs after the release of the minutes of the Fed’s latest monetary policy meeting, which said officials remain divided on the outlook for interest rates.

Crude oil prices skyrocketed on Wednesday after reports that Iran failed to address core U.S. demands in nuclear talks earlier this week. West Texas Intermediate crude for March delivery soared $2.73 or 4.4 percent to $64.99 a barrel.

Closer to home, the central bank in Indonesia will wrap up its monetary policy meeting and announce its decision on interest rates later today; the benchmark lending rate (4.75 percent), deposit facility rate (3.75 percent) and the lending facility rate (5.50 percent) are all expected to be unchanged.