Indonesia Stock Market Due For Profit Taking On Wednesday

(RTTNews) - The Indonesia stock market has tracked higher in three straight sessions, climbing more than 140 points or 1.9 percent along the way. The Jakarta Composite Index now rests just above the 7,625-point plateau although investors may lock in gains on Wednesday.

The global forecast for the Asian markets is negative thanks to a combination of weak economic and earnings news, while profit taking may also be in order. The European and U.S. markets were down and the Asian bourses are expected to follow that lead.

The JCI finished modestly higher on Tuesday following gains from the food and financial shares, while the cement companies were mixed and the resource stocks were down.

For the day, the index advanced 67.30 points or 0.89 percent to finish at 7,626.95 after trading between 7,573.45 and 7,635.04.

Among the actives, Bank CIMB Niaga rallied 1.34 percent, while Bank Mandiri jumped 1.81 percent, Bank Danamon Indonesia collected 0.38 percent, Bank Negara Indonesia improved 1.38 percent, Bank Central Asia climbed 1.19 percent, Bank Rakyat Indonesia rose 0.41 percent, Bank Maybank Indonesia dropped 0.88 percent, Indosat Ooredoo Hutchison tumbled 1.97 percent, Indocement sank 0.68 percent, Semen Indonesia spiked 1.93 percent, Indofood Sukses Makmur accelerated 2.13 percent, United Tractors dropped 0.96 percent, Energi Mega Persada advanced 0.88 percent, Astra Agro Lestari shed 0.73 percent, Aneka Tambang stumbled 1.84 percent, Jasa Marga dipped 0.20 percent, Vale Indonesia slumped 0.95 percent, Timah plunged 3.50 percent and Bumi Resources and Astra International were unchanged.

The lead from Wall Street is soft as the major averages opened mixed on Tuesday but quickly turned lower and saw all of them finish well under water.

The Dow tumbled 324.80 points or 0.75 percent to finish at 42,740..42, while the NASDAQ slumped 187.10 points or 1.01 percent to close at 18,315.59 and the S&P 500 sank 44.59 points or 0.76 percent to end at 5,815.26.

The pullback on Wall Street reflected profit taking as traders looked to cash in on recent strength in the markets after the Dow and S&P hit record closing highs on Monday.

Corporate earnings also weighed, led lower by the likes of UnitedHealth (UNH) and Citigroup (C), although Walgreens Boots Alliance (WBA) rallied on its results.

On the U.S. economic front, the Federal Reserve Bank of New York reported that regional manufacturing activity has returned to contraction in October.

Oil prices fell sharply on Tuesday as fears about supply disruptions faded on reports that Israel will avoid targeting Iran's oil sites. West Texas Intermediate crude oil futures for November sank $3.25 or 4.4 percent at $70.58 a barrel.